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Photo Reuters

COMPANY NEWS IN BRIEF

Unions attempt to save SA Express

The National Union of Metalworkers of South Africa (Numsa) and the South African Cabin Crew Association (Sacca) have made submissions to the South African Human Rights Commission (SAHRC) on the suffering of SAX employees who have not been paid salaries since the regional airline went into provisional liquidation in February 2020.

The unions want the SAHRC to hold Minister of Public Enterprices Pravin Gordhan to account "for trampling on the human rights and dignity of workers at SAX".

Numsa and Sacca claim some employees have lost their homes while others could not even afford school fees for their children anymore. Some payments were received from government's Temporary Employee Relief Scheme (TERS) during the harder lockdown period.

SAX has been in provisional liquidation for almost two years, since April 2020, after a failed attempt at business rescue.

In January this year, the return date for a final liquidation application was once again extended, this time to 4 July, to see if a suitable deal can be reached to sell the airline, which has liabilities of more than R900 million. The provisional liquidators would require government and creditor approval for any deal. -Fin24

Twitter starts negotiations with Musk

Twitter kicked off deal negotiations with Elon Musk on Sunday after he wooed many of the social media company's shareholders with financing details on his US$43 billion acquisition offer, people familiar with the matter said.

The company's decision to engage with Musk, taken earlier on Sunday, does not mean that it will accept his US$54.20 per share bid, the sources said. It signifies, however, that Twitter is now exploring whether a sale of the company to Musk is possible on attractive terms, the sources added.

Musk, chief executive of electric car giant Tesla, has been meeting with Twitter shareholders in the last few days, seeking support for his bid. He has said Twitter needs to be taken private to grow and become a genuine platform for free speech.

Many Twitter shareholders reached out to the company after Musk outlined a detailed financing plan for his bid on Thursday and urged it not to let the opportunity for a deal slip away, Reuters reported earlier on Sunday.

Musk's insistence that his bid for Twitter is his "best and final" has emerged as a hurdle in the deal negotiations, the sources said. Nevertheless, Twitter's board has decided to engage with Musk to gather more information on his ability to complete the deal, and potentially get better terms, the sources added. -Fin24

Long4Life anticipates an increase in profit

Long4Life says it anticipates a major jump in earnings for the year ended 28 February 2022, as the takeover of the group nears its conclusion.

In a statement, the group said its headline earnings per share would increase by between 92% and 105% from 31.9 cents in the previous year.

The group, whose brands include Chill Beverages, Sorbet, Sportsmans Warehouse and Candi & Co, is in the process of being acquired by Old Mutual Private Equity (OMPE). The acquisition was approved by shareholders in February. They will receive R6.20 per share.

Long4Life said it has already obtained approval from the competition authorities in Namibia for the sale of its operations in that country. But it is still waiting for approval from South African authorities. -Fin24

Transnet to launch tender for LNG terminal

Transnet will issue a tender "within weeks" for a new liquefied natural gas (LNG) terminal to be built at the Richards Bay port.

So far, nineteen companies have expressed interest in various aspects of the project - including for its design, development, construction, financing and operation, Transnet National Ports Authority (TNPA) said in a statement.

The companies include major developers and operators of gas infrastructure in South Africa, Europe, Asia, America, and the Middle East.

The aim is to have the terminal operational by 2026. It will be built in the South Dunes Precinct of the Richards Bay port.

TNPA Richards Bay Port Manager, Captain Dennis Mqadi, said that TNPA was satisfied with the response received from the interested developers and operators. The LNG terminal will help to develop South Africa's gas market as an alternative source of energy. -Fin24

Technip Energies beats core profit estimates

French oil and gas services provider Technip Energies reported a stronger-than-expected first-quarter core profit on Monday, as it looks to ramp up activity outside of Russia this year and benefited from increased interest in liquefied natural gas (LNG).

"Despite near-term volatility in commodity and raw material prices, the attractiveness of LNG, an inherently flexible energy source, has improved and the market opportunity is accelerating," Chief Executive Officer Arnaud Pieton said in a statement.

In March, Technip Energies said it was renouncing new business opportunities in Russia and excluded ongoing Russian projects from its outlook following Moscow's invasion of Ukraine.

The group, which specialises in engineering and technology for the energy industry, posted adjusted recurring earnings before interest and taxes (EBIT) of 107.3 million euros (US$115.6 million), beating analysts' forecast of 100.9 million euros. -Reuters

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