Afinitas acquires 50% stake in London conference
Isaac Pinielo | Thursday September 24, 2015 18:00
Afinitas executive director, Leutlwetse Tumelo told Mmegi Business on Tuesday that the acquisition is a step in the right direction for the company as it now has a subsidiary.
The 50 percent stake in the London-held conference is being bought for a nominal fee of $100 (P1,040) as its beneficial owner, Rupert McCammon, is also a majority shareholder in Afinitas.
“It is confirmation to our shareholders that we are now operating and ready to make profits. Another positive thing is that our subsidiary is a company that is already operating,” he said.
Tumelo is also convinced that the company will record good results for the year 2015 as a result of the acquisition.
Following the listing of Afinitas on the Botswana Stock Exchange (BSE) on July 27, 2015, a new company, Africa Events Limited was incorporated and registered in Jersey, the largest of the Channel Islands, on July 31, 2015.
Tumelo said the acquisition provides Afinitas with instant access to one of the most comprehensive contact networks of senior executives across the African continent and a profitable, cash generative business. Now in its fourth year, AFSIC is developing into Africa’s leading financial services investment event.
According to information on its website, many of Africa’s significant investors attend AFSIC with the objective of meeting banks, insurance companies, microfinance, leasing and other regulated financial services companies from across Africa.
The London-held conference, which was attended by 220 companies representing 25 different African countries in 2014, is forecast to make a profit after tax of $280,000 (P2.8 million) next year rising to $1.2 million (P12 million) by 2018.
Apart from AFSIC, the company eyes to make various other investments ranging between $2 million and $4 million in industries such as financial services, insurance companies, leasing companies, fund management companies, deposit taking companies and lending companies, Tumelo told Mmegi Business.
Meanwhile, a press release from the BSE stated that Afinitas is due to publish its interim financial statements for the six months ended June 30, 2015. However, it said at that interim reporting date, Afinitas had not yet commenced commercial operations and therefore had no revenues, operating expenses, assets or liabilities to report in its interim financial statements.
The company successfully raised P93.9 million. It is expected that the capital raised and financial performance of the company during the second half of the financial year will be reflected in the audited results for the year ended December 31, 2015.
Among the directors of Afinitas are Tumelo, Lesang Magang, Dawn Pickering and McCammon.