Soeder expands Capespan stake in challenging agribusiness environment



According to Zeder CEO Johann le Roux, South African agribusiness is currently adapting to the country’s difficult business environment. Soeder yesterday announced a dividend of 10 cents per share for the interim period ending August 2023. This follows the acquisition of a minority stake in Capespan for R550 million (€27.5 million).

Soeder shares rose 1.8% to R1.69 in afternoon trade on the JSE yesterday. It has risen 3% in the past 30 days. His special dividend of 10 cents per share for the current interim period announced yesterday is in addition to his special dividend of 5 cents per share paid on August 28th.

Le Roux: “Although the climate cycle has improved, the macro environment remains challenging. Nevertheless, there has been a slight improvement in the recent Agribusiness Confidence Index, with agribusinesses cautiously responding to the difficult business conditions in the country. It suggests that they are adapting.”

Going forward, Soeder said, “market uncertainty and volatility will continue in the short to medium term due to concerns such as inflation, rising interest rates, aging infrastructure, municipal failures, and risks related to energy availability.” I predict that it will.”

The company said that for the time being, “the overall macroeconomic environment remains relatively constrained for investors in the broad agribusiness sector and related industries.”

But that hasn’t stopped Zeder from developing a business strategy, and recent deals have given Capespan more control. Mr Soeder has just signed an agreement to acquire an additional interest from Capespan’s minority shareholders for R550 million in cash.


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