Business News - 25 July 2025

Economic Overview

The South African rand was mixed over the past week against major currencies. It traded at around R17.71 per US$ on 18 July, and is now about R17.53 per US$ – meaning the rand strengthened slightly versus the dollar. Against the euro, it’s barely changed at roughly R20.6 per € (around R20.58 last week vs R20.63 now), so the rand was virtually flat vs the euro. Versus the British pound, it hovered near R23.8 per £ (about R23.75 a week ago and R23.80 today), showing no real movement. In short, the rand firmed up a bit against the dollar while remaining steady against the euro and pound this week.

Several factors swayed the rand. Globally, a softer US dollar late in the week helped the rand, as U.S. economic data fueled bets that the Federal Reserve might pause rate hikes – improving appetite for emerging-market currencies. However, persistent trade tension with the U.S. kept investors cautious: Washington’s looming 30% tariff on South African exports (effective 1 August) hung over sentiment.

MultiChoice Overhauls DStv Packages

MultiChoice, Africa’s largest pay-TV provider, is finally shaking up its flagship DStv service to better compete with global streamers. The company confirmed plans to overhaul DStv’s subscription packages – likely by unbundling its sports channels from general entertainment. This means customers may soon get the option to subscribe to sports (SuperSport) separately from other DStv content. The move comes after MultiChoice executives admitted they had been “a little late” in modernising their offerings to counter Netflix and other online rivals. Group CEO Calvo Mawela had hinted last month that splitting sports off could help retain price-sensitive customers who only want entertainment or only sports.

For years, DStv’s premium bundle model – which ties expensive sports rights to a full package – was lucrative. But with 1.4 million South African subscribers lost in the past two years due to cord-cutting, MultiChoice is under pressure to adapt. The new approach is expected to roll out in coming months and will let viewers choose more flexible bundles (for example, a lower-cost package without sports, or a sports-only add-on). This long-awaited shake-up is aimed at stemming customer losses and competing on price and choice. MultiChoice says it’s also enhancing its streaming platform Showmax and exploring partnerships (like Canal+ which is upping its stake) to bolster content.

For South African consumers, DStv’s revamp should bring more choice and potentially better value, as the broadcaster acknowledges changing viewing habits and the need to be more agile. After years of viewer requests, a more pick-and-choose DStv is finally on the horizon, showing MultiChoice’s intent to stay in the game against agile streaming competitors.

Cyberattack Hits SA Treasury and Firms

A major cyberattack exploiting a Microsoft software flaw rippled into South Africa this week, infecting the National Treasury and several companies with malicious software. The breach stemmed from a global hack of Microsoft’s cloud services, which Microsoft attributed to a Chinese state-linked hacking group. In South Africa, authorities discovered malware in the Treasury’s systems after hackers accessed an email platform via the Microsoft vulnerability. Cybersecurity teams quickly isolated affected servers, but not before sensitive data risks emerged. At least hundreds of other organisations worldwide – including government agencies and corporations – were similarly compromised as the attack spread.

Local businesses are also on high alert. It’s reported that some financial institutions and IT providers detected unusual activity linked to the breach, prompting preemptive shutdowns of certain applications. Microsoft has issued patches for the security hole, and South African firms are applying fixes and monitoring for any signs of data theft. The National Treasury said no funds were affected, and it’s working with security experts to strengthen systems. Nonetheless, the incident is a stark reminder of rising cyber threats. South Africa’s government urged all organisations to update their software and review security protocols, noting that cybersecurity is now as crucial as physical security. For the public, there’s little direct impact visible – aside from possible delays in some online services – but the attack underscores vulnerabilities in our increasingly digital infrastructure. It’s a wake-up call that even major platforms can be breached, and constant vigilance is needed to protect critical data in both the public and private sector.

Visa Opens First Africa Data Centre in SA

Global payments giant Visa has chosen South Africa to host its first African data centre, a major tech investment to support booming digital transactions on the continent. This week Visa launched the new data centre in Johannesburg, as part of a R1 billion (≈$57 million) South African investment plan over three years. The facility expands Visa’s global processing network (which usually hubs in the US, UK, and Singapore) and will locally handle a share of the 100+ billion transactions Visa processes annually. Executives said placing a data centre in Africa will improve payment speeds and reliability for African banks, retailers, and fintech firms, since transaction data can be routed within the region instead of through servers overseas.

Visa’s Africa chief cited South Africa’s status as a “digital leader” in Africa – with advanced banking infrastructure and over 60% of face-to-face payments now contactless locally – as a key reason for the choice. The data centre is also a vote of confidence: Communications Minister Mondli Gungubele (speaking at the launch) said the project “boosts our national financial sovereignty” by reducing reliance on foreign IT infrastructure. For South African consumers and businesses, Visa’s move should gradually mean faster payment authorisations and fewer network hiccups during card transactions. It may also strengthen cybersecurity and data privacy compliance under local regulations. Beyond Visa, this investment signals growing tech interest in Africa’s payments market – which a new report expects to reach $1.5 trillion by 2030, driven by rising internet and mobile money use. In short, Visa is literally bringing its servers closer to African soil, aligning with the continent’s digital commerce growth and perhaps spurring other multinationals to follow suit.

Stellantis to Launch Chinese EVs in SA

Automotive group Stellantis (maker of Jeep, Peugeot, Citroën and more) is gearing up to bring Chinese-made electric vehicles to South Africa as part of its expansion strategy. Stellantis announced it will debut EV models from its Chinese partner Leapmotor in the local market, starting as soon as September. The first model on offer will be the Leapmotor C10, a compact crossover SUV that runs on an electric battery (with a small petrol generator to recharge the battery on the move). This EV will effectively be a range-extended electric car, aiming to address concerns about charging infrastructure by including a backup petrol charger for the battery. More Leapmotor models – including full battery-electric cars – are expected to roll out in 2024.

Stellantis’s move highlights the surge of Chinese automakers entering the African EV market. Firms like BYD, GWM (Haval), Chery, and now Leapmotor are aggressively expanding into South Africa, offering relatively affordable electric and hybrid vehicles. Leapmotor, for instance, recently made headlines with a fully electric SUV in China priced under $18,000– far cheaper than most EVs today. By partnering with Leapmotor, Stellantis hopes to capture price-sensitive buyers and establish a foothold as South Africa’s EV adoption slowly gathers pace. South Africa’s car market is still dominated by petrol vehicles (EVs were only ~1% of new car sales last year), but interest is growing. Stellantis is also investing in local production – it’s building a new assembly plant with capacity for 100,000 vehicles by 2030 – and plans to introduce more budget-friendly models (like the Citroën C3) to challenge incumbents. The Leapmotor launch indicates Stellantis’s confidence that South Africans will warm up to EVs, especially if priced right. Consumers can expect an expanding choice of electric cars, and possibly a push for better charging infrastructure, as global and Chinese automakers race to electrify our roads.

Ibex (Steinhoff) Sells Pepkor Stake to Cut Debt

The saga of Steinhoff – once a retail empire, then a cautionary tale – reached a pivotal moment as the firm (now renamed Ibex Investment Holdings) sold off its remaining stake in retail giant Pepkor. Ibex/Steinhoff announced it has disposed of its entire 28% shareholding in Pepkor for about R28 billion (approximately $1.5 billion). The sale was done via an accelerated bookbuild (a quick market placement to institutional investors) at R25.45 per share. This deal finally untangles Steinhoff from Pepkor, the African retail subsidiary known for Pep and Ackermans stores. Steinhoff originally acquired Pepkor in 2015 as part of its meteoric expansion – but after Steinhoff’s 2017 accounting fraud scandal and collapse, Pepkor was spun out and Steinhoff/Ibex has been gradually selling down its holding to pay creditorsreuters.com.

By selling the last of Pepkor, Ibex raises much-needed cash to reduce its mountain of debt, which has hung over it since the fraud revelations. Steinhoff had already undergone a massive restructuring (including the name change to Ibex in 2023) and various asset sales. Pepkor was one of the final crown jewels in its portfolio. Market analysts largely welcomed the move – it provides clarity for Pepkor (which will no longer have an overhang of a distressed major shareholder) and helps draw a line under the Steinhoff saga. Pepkor itself continues to trade solidly as South Africa’s largest clothing retailer, now fully independent. For Ibex, this marks the end of an era. Having shed virtually all its assets, the former retail conglomerate is effectively a holding entity managing down debt and legal claims. It’s a notable outcome of one of South Africa’s biggest corporate scandals: seven years after Steinhoff’s crash, the company has sold everything of value (Pepkor being the last big piece) to settle obligations. While painful for long-time shareholders, this final sale moves Ibex closer to resolving its affairs, and allows Pepkor to move forward with a stable ownership structure.

Capitec Appoints Veteran Executive Graham Lee as New CEO

Graham Lee, a Capitec executive since 2003, has stepped into the role of CEO of Capitec Bank following the retirement of long-serving founding CEO Gerrie Fourie, who stepped down on 18 July 2025. Lee, previously responsible for the bank's personal banking division, brings more than 20 years of experience, including key roles in credit, technology, data, and serving on the Group Executive Committee.

Gerrie Fourie, who became Capitec Bank’s CEO in 2013, transformed the company from a nimble challenger bank with around 5 million customers into South Africa’s largest digital retail bank serving more than 24 million clients by mid-2025. Under his leadership over a decade, Capitec launched fully digital onboarding, introduced Capitec Pay, acquired Mercantile Bank, added insurance services and business banking, and pursued international growth through the AvaFin deal. Fourie emphasised a client-first strategy, making banking simple, affordable, and accessible, while instilling a strong performance-driven culture and disciplined growth approach.

The results speak volumes: Capitec’s market capitalisation soared—from a modest challenger to around R404 billion (US$22.8 billion) as of mid-2025, and its stock delivered one of South Africa’s sharpest long-run gains—over 200,000% since its IPO. The firm’s efficiency, low-cost operating model, and digital-first strategy became a benchmark in the local banking industry.

However, when Fourie’s planned retirement was announced in March 2025, the share price slipped modestly, reflecting investor cautiousness about the leadership change—even as analysts quickly backed his successor, veteran executive Graham Lee. Lee’s deep institutional knowledge and extensive experience across functions and geographies (including experience in technology and micro‑finance in regions like Zimbabwe, UK, Australia, and Nigeria) position him well to continue Capitec’s digital innovation and growth strategy. The handover marks a major moment for South Africa’s most prominent digital bank and underscores its path forward with locally grounded leadership and a technology-driven focus.

Hyprop’s Takeover of MAS Faces Hurdle

JSE-listed property fund Hyprop Investments’ ambitious bid to acquire MAS Real Estate – an international property company – has hit a snag due to a stubborn joint-venture dispute. Hyprop’s CEO, Morne Wilken, revealed that their takeover of MAS is contingent on resolving issues in MAS’s joint venture with Prime Kapital, a European property developer. Here’s the background: MAS (which owns malls and assets in Central and Eastern Europe) has a long-standing development JV with Prime Kapital. However, the two partners have reportedly been at odds over strategy and capital allocation in that JV. Prime Kapital (led by businessman Martin Slabbert) has even opposed Hyprop’s offer for MAS, calling it undervalued. The friction has created a “deadlock” in decision-making.

Hyprop’s planned offer is a mix of cash and shares for MAS’s shareholders, aimed at expanding Hyprop’s footprint offshore (Hyprop is known for SA malls like Canal Walk and Rosebank Mall, and it wants MAS’s European assets). But Wilken admits unless the Prime Kapital JV issues are settled, the deal can’t smoothly proceed. Essentially, Hyprop doesn’t want to inherit a feud. They’re now in talks to restructure or possibly unwind that joint venture. Market watchers note that time is of the essence – MAS’s independent board will consider Hyprop’s bid in coming weeks, and some MAS investors are lukewarm, especially if the JV overhang persists. It doesn’t help that Prime Kapital itself has increased its stake in MAS and is lobbying other shareholders to reject Hyprop’s offer as too low. Hyprop, for its part, argues the deal would unlock value and create a diversified property fund spanning South Africa and Europe. They’ve hinted at sweetening the offer if needed. The coming weeks will be a showdown: if Hyprop can placate Prime Kapital (perhaps by buying out its JV stake or agreeing on project pipelines), the MAS acquisition could still materialize. If not, this strategic European expansion could stall. For now, Hyprop’s global ambitions hang in the balance, pending a truce in a boardroom tussle half a world away.

Thungela Hires De Beers Veteran as CEO

South Africa’s largest pure-play coal miner, Thungela Resources, has announced a new leader at the helm. The company named Moses Madondo – a seasoned executive from De Beers – as its next CEO, effective 1 August. Madondo is currently the Managing Director of De Beers’ Venetia Mine and has over 30 years’ mining experience. He will succeed Thungela’s founding CEO, July Ndlovu, who steered the company since its 2021 spin-off from Anglo American. (Ndlovu earlier announced plans to retire and is leaving at end of July.) The incoming chief, Madondo, is a notable appointment: coming from the diamond sector, he brings a fresh perspective to a coal company at a strategic crossroads.

Thungela has enjoyed bumper profits since its 2021 listing, thanks to high coal prices and efficient operations at its Mpumalanga coal mines. But with global pressure mounting for cleaner energy, Thungela faces the challenge of navigating coal’s decline in the longer term. The board has tasked Madondo with continuing strong cash generation and formulating a roadmap for the future – which might include diversifying into “greener” minerals or technologies. Notably, Thungela’s former parent Anglo spun it out to separate the carbon-heavy coal assets from Anglo’s portfolio. In the short term, Madondo’s focus will be on safe, reliable coal production to supply Eskom and export markets, while managing regulatory and community relations. Industry observers say his leadership experience at De Beers (known for a strong safety culture and community programs) will be valuable. Investors will watch how he balances shareholder returns (Thungela has been paying hefty dividends) with the need to possibly invest in transition opportunities. Overall, the appointment has been well received – it brings a respected mining figure to Thungela as it plans for life beyond the current coal windfall. With coal still a key part of South Africa’s energy mix (despite clean energy efforts), Thungela’s leadership transition comes at a critical juncture for ensuring the company’s sustainability in every sense of the word.

Netflix Launches SA Training Programme for Creatives

Streaming giant Netflix is investing in South African talent with a new initiative to boost local film and TV skills. Netflix announced the launch of the “ScreenCraft Pathway” programme in Johannesburg, an on-the-job training scheme for aspiring creatives in the television and film industry. The program – run in partnership with the SA Film Academy and other local stakeholders – will take a cohort of young writers, directors, and production trainees through an intensive curriculum and placements on real Netflix productions being shot in South Africa. The goal is to develop more home-grown storytellers and crew who can work on international-quality productions, thereby enriching Netflix’s pipeline of African content.

For South Africa’s booming creative sector, this is a welcome investment. In recent years, Netflix has commissioned a number of South African originals (from dramas and thrillers to reality shows), and the new training programme will ensure a broader base of skilled professionals to sustain and grow that output. Participants will not only get mentorship from industry veterans but also a chance at full-time roles on Netflix projects if they excel. The government has praised the move as aligning with its drive to create jobs in the creative economy. It also helps address transformation, as the programme is expected to recruit diverse talent from across the country, including those from historically disadvantaged backgrounds. Netflix’s ScreenCraft Pathway is part of a broader trend of international media companies investing in African talent development – Disney and Amazon have similar smaller-scale initiatives – but Netflix’s effort is one of the most comprehensive to date in South Africa. For local audiences, the long-term payoff could be more authentic South African stories on screen and a stronger local industry. As one emerging filmmaker put it, “It’s an opportunity to learn from the best in the business, right here at home.” Netflix is betting that nurturing talent on the ground will ultimately lead to more hits that resonate both locally and globally, feeding the streaming content engine with South African creativity.

Conclusion

This week’s headlines paint a picture of a South African business landscape balancing adaptation and ambition. On the one hand, companies are adjusting strategies – from MultiChoice revamping its model in the face of global competition, to Hyprop navigating deal hurdles, and banks fortifying systems after cyber scares. On the other hand, there’s forward momentum: automakers and miners are investing for the future (whether in electric cars or expanded smelters), and international players like Visa and Netflix are betting on South Africa’s potential. A common theme is innovation amid change – be it through new tech infrastructure, cleaner energy efforts, or nurturing local skills. Despite global headwinds (like trade tariffs and cybersecurity threats), South African businesses are proving resilient and proactive, finding opportunity in challenges.

Staying informed in these dynamic times is vital. That’s where Cham8ion Investments’ Trends & Insights comes in – we’re here to break down the noise and keep you ahead of the curve with clear, actionable news. If you found this edition useful, be sure to subscribe to Trends & Insights for your weekly briefing. We’ll continue to track the big developments and subtle shifts shaping the business future. Knowledge is power – and we’re committed to empowering you, our readers, with insight that helps you navigate the week ahead. Until next Friday, stay curious and keep looking forward with us!