Simon’s weekly wrap: Business adapting to the times

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[LISTEN] This week MoneywebNOW looked at Naspers and Prosus results, retail trends post-pandemic and amid an energy crisis, green bonds for home solar, Nike results and balancing ESG elements, with SimonPB MoneywebNOW Naspers Prosus

Naspers and Prosus’ shares jumped markedly higher on Monday, not on their results but on the news that Prosus would be selling down its Tencent stake to buy back its own shares. I spoke with Craig Antonie of AnBro Capital and he is sceptical on this move, as their other businesses are struggling and loss-making, while Tencent makes 125% of the profits for Prosus.

With all pandemic restrictions now lifted I spoke with CEO of Galetti Corporate Real Estate, John Jack, about retail trends and how shopping centers are surviving. He comments that smaller strip malls and larger malls offering experiences rather than just shopping options are definitely doing better than others. He also commented that more power-efficient centres and even offices are gaining market share, as business struggles with load shedding and the cost of electricity.

I also chatted with Craig Ivy of Futuregrowth Asset Management about green bonds. He has a great idea for local retail banks: green bonds for home solar. He suggests that banks could borrow the money cheaply in credit markets and make new loans to existing clients at attractive rates. With load shedding hitting Stage 6 this week, we need creative ideas, and this certainly is one of them.

Nike has long been an iconic brand and I chatted with Old Mutual senior research analyst Victor Mupunga on its recent results. It was a mixed bag, as Chinese lockdowns and supply disruptions hurt profits. But its biggest market, the US, remained strong and, with this being a soccer world cup year, supply chains improving and China opening up, it should have a much better 2023 set of results. Barry Shamley of Investec Wealth & Investment on finding a balance between the elements of ESG .

 

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Naspers SimonPB ɪ'ᴍ ɴᴏ ᴇxᴘᴇʀᴛ ɪɴ ᴛʀᴀᴅɪɴɢ ʙᴜᴛ ɪ ʜᴀᴅ ɢᴏᴏᴅ ɢᴜɪᴅᴀɴᴄᴇ ᴡɪᴛʜ mamats38 ᴀɴᴅ ʜer ᴛᴇᴀᴍ, ɪᴛ'ꜱ ʙᴇʏᴏɴᴅ ᴇʏᴇ ᴏᴘᴇɴɪɴɢ, ᴡɪᴛʜ ᴛʜᴇꜱᴇ ᴛᴇᴀᴄʜɪɴɢꜱ ᴀɴᴅ ᴛʀᴀᴅɪɴɢ ꜱᴋɪʟʟ, I'ᴠᴇ ʜᴀᴅ ɴᴏᴛʜɪɴɢ ʙᴜᴛ ᴄᴏɴᴛɪɴᴜᴇᴅ ꜱᴜᴄᴄᴇꜱꜱ.

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