Eskom signs deal with African Bank to offload staff home loan portfolio

Show Voice Options Bank Limited. This agreement encompasses the acquisition of Eskom Finance Company SOC Limiteds (EFC) staff home loan portfolio, along with related assets and Eskoms stake in Nqaba Finance 1 (RF) Limited. This landmark transaction, first announced in December last year, via the Stock Exchange News Service (SENS), marks a significant milestone for both entities involved. The signing of the sale agreements does not only complete a critical step in Eskoms strategy to streamline its operations but also aligns with the directives set forth by the National Treasury. The Treasury has mandated that Eskom dispose of non-core assets as a condition of its debt relief programme, reinforcing the financial utility of this transaction. Calib Cassim, Eskoms Chief Financial Officer, expressed optimism regarding the deal: “Finalising the sale agreements marks a significant step in Eskoms journey to streamline operations and focus on its core mandate. "This transaction not only supports our strategic goals but also fulfils one of the conditions set by the National Treasury under the debt relief programme, which requires the disposal of non-core assets.