In spite of the current challenges facing the M&A landscape in Africa, there are pockets of opportunity as businesses review their strategies in response to changing global realities.
The inability to confidently interpret information in Africa is fuelling uncertainty in the continent’s corporate transaction landscape. While this has lent an element of uncertainty to businesses considering African acquisitions, for those able to read the signs, Africa’s fundamentals remain positive and opportunity abounds.
Today, businesses operating in Africa are looking for guidance on how to navigate what many see as an increasingly uncertain landscape.
It is normal for businesses to review their strategies in response to changing global realities. “What is different about the current cycle is a shortage of reliable insight on which to build predictability and, ultimately, effective corporate strategy,” says Frad Shoko, Head, Global Advisory, Standard Bank.
In this environment, it is not the frequency, value and drivers of corporate transactions that keep businesses up at night. Instead, banks are increasingly being asked, ‘‘what should we do to develop our business, where are the opportunities and what do the risks mean? As a corporate advisor, this is when the rubber really hits the road,” says Mr Shoko.
Today, being able to guide and advise on the broader business, competitor and risk landscape provides a competitive advantage.
“At Standard Bank, we believe in Africa. With over 153 years on the continent, across our 20 core markets, our business has developed the expertise to navigate African markets, understand our stakeholders, and guide with appropriate advice – and we have the balance sheets and people on the ground to make this real,” says Mr Shoko.
As such, from a correctly informed perspective, Africa looks distinctly different. Certainly;
Being on the ground with deep and textured insight into continental realities and opportunity equips Standard Bank to guide clients considering transactions on the continent on, “which deals to choose, which sectors to target, which economies to prioritise and, mostly, where the dangers lie,” explains Mr Shoko.
Having the right partners, insight and relationships provide a more nuanced and informed view of African opportunity. “By bringing this perspective to clients Standard Bank allows businesses to confidently develop effective corporate strategies based on sound advice and the correct interpretation of information,” says Mr Shoko.Back to all news
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