+ Cinga Capital Proprietary Limited Corporate Profile April 2018
Contents 3 5 12 16 18 Introduction Our Service Offering Meet the Team Select Recent Credentials Conclusion and Contact Details 2
WHO WE ARE Cinga Capital is an independent specialist advisory and investment holding company founded in 2011. The services we offer focus on Financial Advisory, Corporate Finance, Specialised Finance and Capital Raising for both private and public sector clients across various sectors in Sub-Saharan Africa. We are black-owned and managed by a team of experienced professionals with significant investment banking experience combined with an innovative and entrepreneurial spirit. Our strength lies in our ability to comprehend the needs of our clients and offer novel, bespoke solutions coupled with world class execution capabilities. We have a proven track record of successful origination and execution of major projects. 3
OUR MISSION AND VISION Mission Our journey starts with our mission, which is enduring. It declares our purpose as a company and serves as the standard against which we weigh our actions and decisions. To become a respected and significant Financial Services and Consulting business in Africa. Vision Our vision serves as the framework for our business and guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable, quality growth. To exceed the expectations of our customers by providing innovative and sustainable turnkey advisory solutions thereby becoming the specialized advisory firm of choice. 4
Our Service Offering
6 WE HAVE THE RESOURCES, DEPTH AND PROVEN EXPERIENCE TO DELIVER RESULTS.
ADVISORY ASSISTANCE ALONG YOUR GROWTH PATH Risk identification Right price determination Identifying potential acquirers Value leakage minimisation Exit options Deal execution SELL Financing strategy Option identification and evaluation Equity vs Debt Terms negotiations Risk analysis FUND BUY PARTNER FIX 7 Target identification Risk Analysis Deal strategy Negotiation Option analysis Funding options Deal execution Technical and management support Risk identification Needs analysis Identifying potential investors Appropriate transaction structure Pricing, terms and funding Deal execution Turnaround and stabilisation Financial restructuring Capital injections Option assessment Risk assessments
OUR SERVICES Acquisition and Disposals Advisory Debt and Capital Advisory Public Sector Advisory Black Economic Empowerment Advisory General Business Advisory 8
OUR SERVICES continued ACQUISITION AND DISPOSALS ADVISORY Corporate acquisitions Mergers and acquisitions Leveraged transactions Management led transactions such as: management buyout (MBO), management buy-in (MBI), Disposals - corporate divestment programmes, non-core business disposal (spinoff, carve-out) and retirement sales DEBT AND CAPITAL ADVISORY Refinancing Equity raisings Acquisition Financing Project Finance Documentation advisory and negotiation Early repayment negotiations Placing of debt Providing access to development funding institutions Refinance advisory Term sheet negotiations General financial advisory Balance sheet restructuring 9
OUR SERVICES continued PUBLIC SECTOR ADVISORY Public infrastructure projects PPPs Project financing Business case development Tender readiness Transaction advisory Contract negotiations Procurement advice BLACK ECONOMIC EMPOWERMENT ADVISORY BEE acquisitions and disposals The structuring of sustainable BEE transactions Capital raising Strategic business advice Partner selection Developing a BEE ownership strategy which aligns with the client s strategy General financial advisory 10
OUR SERVICES continued GENERAL BUSINESS ADVISORY Valuations Financial modelling Listings Due diligence investigations Investing in the rest of Africa Optimal transactional structuring solutions Privatisations 11
Meet the Team
MEET THE TEAM Cinga Capital is led by a capable and talented team with experience from various sectors. The team mainly comprises of professionals who bring strong experience and business skills. The Cinga team has been involved in the planning, execution and delivery of many strategic and complex business transactions and has the expertise that comes only from repeatedly executing successful transactions. The team that will work with you is a senior team with decades of experience. The team has broad experience in a variety of disciplines, ranging from valuations, transaction support and capital raising to mergers and acquisitions, due diligences, JSE-related work and corporate restructuring. Our wealth of knowledge, skill and experience affords us the ability to provide creative and innovative solutions across a variety of sectors and for every size of enterprise. Cinga and its team have been able to develop solid networks and invaluable business relationships across South Africa, allowing for substantial business synergies both internally and for its clients. This adds enormous value to any transaction, as it provides clients with an added dimension of value often so crucial in today's economic climate. 13
MEET THE TEAM continued Veli Mcobothi Mlungisi Lloyd Radebe Mpho Enos Lentsoane Chief Executive Officer BCom, BCom (Hons), CA(SA), PLD (Havard) BCom, BCom (Hons), CA(SA) BSc, BSc (Hons), Masters in Finance (cum laude) 14 Veli is the founder and director of the Cinga Group. He is the CEO of Cinga Capital. He currently serves as non-executive director on the boards of Value Group Limited (Listed), KNR Flatrock (Pty) Ltd as well as Litha Healthcare Limited. Prior to founding Cinga, he was a Private Equity Dealmaker at Investec Bank Limited. While at Investec he started and ran the Africa Division; prior to that he was a senior private equity dealmaker and served as a non-executive director on some boards During his employment, Veli participated in the following transactions: led a transaction to buy a mobile crane business, negotiated and executed settlement agreement with a BEE business where the relation was not working, led the Investec bid to buy BP s businesses in Tanzania, Namibia, Zambia, Malawi and Botswana. The bid was unsuccessful due to price but Investec was shortlisted. Veli also originated, helped structure and executed the Anglo V3 Crane Hire (Pty) Ltd LBO Mlungisi has over 9 years of financial services and investment banking experience including corporate finance at Investec Bank Limited. Prior to joining Cinga Capital in 2017, Mlungisi was an investment banking consultant at the Corporate Finance division of Investec Bank Limited where he was involved in all aspects of corporate finance transactions for clients such as Annuity Properties Limited, Adapt IT Holdings Limited, EsorFranki Limited, Hosken Consolidated Investments Limited, Investec Property Fund Limited, Investec Property Group, Keller Holdings Plc, Texton Property Fund Limited, Tsogo Sun Holdings Limited and Seardel Investment Corporation Limited. Prior joining the Corporate Finance division, Mlungisi completed his CA training at Investec Bank Limited in 2011, having worked in the Private Equity division, Company Secretarial (reporting to the CEO and Company Secretary) and various financial services roles which included a secondment to Investec plc in London, UK Mpho has over 12 years financial services and investment banking experience including corporate finance at Nedbank Limited. Prior to joining Cinga in 2018, Mpho was a Senior Associate at Nedbank Corporate Finance where he was responsible for M&A advisory, equity capital raisings (including rights offers, general and specific issues, and private placements), in-depth advisory on both the sell-side and buy-side of company buyouts, BEE transactions and valuations. He has advised on the following: Main Street 333 on its placing of 19.1 million shares in Exxaro; PPC Rights Offer and Wescoal on various transactions including: acquisition of Keaton Energy, BEE transaction, claw-back and rights offer and a general issue of shares for cash. Mpho also held various positions at Nedbank which include: quantitative risk analyst responsible for developing analytical tools used to assess risk structures inherent in leveraged (LBO/MBO) and project finance transactions. He also managed a team of credit analysts and was the credit manager for the acquisition and leveraged finance portfolio.
MEET THE TEAM continued Pule Moabi Rachelle Bosendju Kwanele Mpila BCom Econometrics BCom Finance BCom, Bcom (Hons), CA(SA) Pule joined Cinga Capital as an Analyst in 2015. He is responsible for assembling financial models, conducting financial and industry analysis and the preparation of research reports and investment discussion papers. He also assists with due diligences. He obtained a BCom Econometrics degree majoring in Economics and Mathematical Statistics from the University of Pretoria. One of the two team members acting for Cinga Capital when it advised GladAfrica Holdings (Pty) Ltd on its acquisition of 100% of Ariya Project Managers (Pty) Ltd. Transaction value R20 million. One of two team members who raised funds for Steval Engineering (Pty) Ltd to fund its expansion programme and working capital. Transaction value R130 million Rachelle joined Cinga as a Junior Analyst in 2016. Her responsibilities include, preparation of tender documents, preparation of discussion papers, preparation of investment proposals, preparation of presentations, preparation of business information memorandums for potential investments that include the use of extensive analytical skills such as financial modelling, financial analysis and valuation analysis, researching of industries and countries and preparation of engagement Letters. She previously worked at Investec Bank Limited for over 5 years in Foreign Exchange Division as support to Dealers. She obtained her Finance degree, majoring in Investment and Financial Management from the University of Johannesburg Kwanele has over 4 years financial services experience and is a qualified chartered accountant having completed her articles at Deloitte in South Africa Kwanele has strong analytical and problem solving skills as well as good knowledge of IFRS having lead her audit teams at Deloitte on banking and private equity clients which include, inter alia, Nedbank Limited, Bidvest Bank and Harith General Partners Prior to joining Cinga in 2018, Kwanele was a financial accountant in the Corporate Banking at Rand Merchant Bank Limited where she was responsible for the accounting, regulatory and overall financial analysis of the Money Market Portfolio in the Corporate Banking division 15
Select Recent Credentials
CINGA S RECENT TRANSACTIONS In-house Corporate Advisor to Nozala Investments Appointed transaction advisor to Ekurhuleni Municipality to perform a feasibility study for real estate Public-Private Partnership projects in Kempton Park and Germiston Facilitated the restructure and consolidated MSG Africa Group s broadcasting assets Advised on and raised funds for a R190 million acquisition of a key infrastructure asset in the Oil and Gas industry 2017 - Present R800 million 2017 R120 million 2017 R190 million 2017 Advisor to GladAfrica Group for it s acquisition of Ariya Project Managers (Pty) Ltd Capital raise to fund Steval Engineering s working capital requirement and expansion into the rest of Africa Raised expansion capital for MMQS Consultants (Pty) Ltd Successfully developed an approved funding structure for smart electricity meters on behalf of a TUMS undisclosed R130 million R30 million R8 Billion 2015 2015 2012 2012 17
Conclusion and Contact Details
WHY WORK WITH US? We have a significant track record and experience in executing transactions in both the private and public sectors through our well entrenched relationships and access to private and public institutions, which is rarely matched by our competitors We bring value-adding market-based research and strategic insights to clients and investments Our approach to transactions is to develop high impact solutions that meet our clients objectives and, where appropriate, innovation We assign senior professionals with significant investment banking experience and strong entrepreneurial spirit on all transactions in order to develop sustainable partnerships with our clients and funders 19
2nd Floor, The Firs, Corner of Cradock & Biermann Avenues, Rosebank P.O. Box 52191, Saxonwold, 2132, South Africa T +27 (0)11 447 9745 F +27 (0)11 880 8324 www.cingacapital.co.za