Atta Africa Financial Update

Kenya Airways may need US$600 million bailout

  • Kenya Airways, which reported a record loss in its year ended March, may require a US$500-600 million bailout, the Kenyan finance minister said
  • Profit at the carrier, which is part-owned by AirFrance-KLM , lost 29.71 billion shillings (US$294.3 million) before tax during the year
  • The losses were driven by a slump in Kenyan tourism caused by frequent Islamist militant attacks, at a time when the carrier had taken on debts to buy new planes

Former Myer CEO is heading to South Africa

  • Former Myer chief executive Bernie Brookes turned down other roles in Australia to take on one of the biggest retail challenges in South Africa – turning around loss-making private-equity owned clothing chain Edcon
  • The 35-year retail veteran did perhaps his best work at Myer when the company was owned by private equity investors TPG and Newbridge Capital between 2006 and 2009
  • Analysts say the parent company, which owns Edgars and Jets clothing stores, will have to sell assets, cut costs and refinance its remaining debt to survive

Key commercial and political activity in Africa for private equity investors by DCE Partners, UK Private Equity advisors to Atta