S.Africa's Transnet raises $850 mln via syndicated loan for capex - CNBC Africa

S.Africa's Transnet raises $850 mln via syndicated loan for capex

Southern Africa

by Reuters 0

S.Africa's Transnet raises $850 mln via syndicated loan for capex. PHOTO: tcse.org

South African logistics group Transnet raised 12 billion rand ($853 million) through a syndicated loan to fund part of a spending plan on new trains, it said on Monday.

Transnet, whose wagons transports commodities such as coal, iron ore and fuel, has been expanding and revamping railways, pipelines and ports in Africa's most industrialised economy, which is struggling with flagging growth.

Transnet said the money would be raised from several banks that include Nedbank, Bank of China, Barclays Africa Group and the asset management arm of insurer Old Mutual.

The loan brings Transnet's funding for new trains to 48 billion rand out of a total 50 billion rand, said chief financial officer Garry Pita.

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