Resources lift JSE as Barloworld exits public markets and major shifts reshape SA business landscape
The JSE All Share Index closed marginally higher on Monday, rising 0.19% to 120,277, as gains in resource stocks helped offset weakness in industrial, property, and consumer-linked counters. While the benchmark index remains firmly higher for the year, trading on the day reflected a cautious market tone, with wide intraday swings and selective buying rather than broad-based support.
The index opened stronger at 121,057 before coming under pressure during the session, slipping to a low of 119,300. It later recovered into the close, highlighting ongoing uncertainty among investors as they weigh global economic signals, commodity prices and domestic company developments.
The day’s market activity unfolded alongside several significant corporate and structural developments, including Barloworld’s delisting from the JSE, renewed focus on illicit mining across Africa, and Canal+’s cost-cutting plans at MultiChoice.
Barloworld delists after Saudi-led takeover
Barloworld’s formal exit from the JSE and A2X Markets has brought an end to the public listing of one of South Africa’s oldest industrial companies, following its acquisition by a consortium led by Saudi Arabia’s Zahid Group. The R23 billion transaction saw Newco, comprising Gulf Falcon Holding and Entsha, acquire full ownership of the group through a compulsory squeeze-out of minority shareholders.
Founded more than a century ago, Barloworld has built a strong market presence across Southern Africa through its role as the sole distributor of Caterpillar construction and mining equipment in the region. Its operations support large parts of the mining, construction, infrastructure and energy sectors, linking the company closely to capital investment cycles both locally and across neighbouring markets.
In November 2025, Barloworld announced that Newco’s standby offer had been accepted by 97.6% of shareholders, allowing the consortium to proceed with a compulsory acquisition under the Companies Act. The remaining shares were acquired on 22 January 2026 at R120 per share, and the company confirmed that its shares would be delisted on 27 January.
Barloworld Group CEO Dominic Sewela said the transaction process took time due to the regulatory and governance requirements associated with a leveraged buyout involving management participation. He said these checks were intended to ensure that shareholders received fair value and that potential conflicts of interest were properly managed.
Sewela said the move to private ownership allows the company to reduce the administrative and compliance costs associated with being listed, while giving management more flexibility to focus on customers and core operations. He noted that Barloworld has become more streamlined following the disposal of non-core assets, with its remaining operations requiring close operational oversight due to their cyclical nature.
Resources support JSE as domestic sectors lag
On the market, resources provided the main support to the All Share Index. The Resource 10 Index rose 0.80%, driven by gains in gold and diversified mining shares. DRDGOLD advanced more than 4%, while Harmony, Anglo American, BHP and Glencore also ended the session higher.
In contrast, industrial and domestically focused sectors continued to face pressure. The All Share Industrials Index fell 0.26%, while the Industrial 25 declined 0.28%, reflecting ongoing challenges for companies exposed to local economic conditions. The Financial 15 Index was little changed, edging down 0.01%, as investors remained cautious ahead of upcoming earnings announcements.
Property stocks underperformed, with the SA Property Index down 0.52%. Despite this, several property counters, including Hyprop, Redefine and Attacq, recorded new 52-week highs during the session, pointing to selective interest in yield-focused stocks.
Telecoms and miners among top performers
Gains among the top 100 shares were concentrated in mining, telecommunications, and selected growth stocks. MTN Group rose more than 2%, supported by strength in the telecommunications sector, which emerged as the best-performing sector of the day. Construction and materials, as well as industrial metals and mining, also posted gains, reflecting continued activity in infrastructure- and commodity-linked counters.
On the downside, energy and consumer-related shares led declines. Sasol fell close to 3% as Brent crude traded lower, while Tiger Brands and Bidcorp also weakened amid ongoing pressure on consumer spending and operating costs. British American Tobacco declined nearly 3% ahead of its upcoming results, as investors adjusted positions.
Trading volumes were concentrated in heavyweight counters, with Naspers, AngloGold Ashanti, FirstRand and Gold Fields dominating value traded. The pattern suggested continued institutional participation, with activity largely focused on large-cap stocks.
Illicit mining continues to challenge Africa’s mineral sector
Attention has also turned to the ongoing impact of illegal mining and precious-metal trafficking across Africa. In South Africa, zama-zama syndicates continue to target both abandoned and operational mines, particularly in areas such as the Northern Cape and Namaqualand. These activities result in financial losses for the state and mining companies, while contributing to broader criminal networks.
Research firm IDEX has reported that international criminal groups, including Chinese Triad gangs, have used South Africa as a base to co-ordinate diamond trafficking operations across multiple continents. The African Diamond Council estimates that close to a third of Africa’s diamond revenue is lost annually through smuggling.
The United Nations has highlighted that illegal mining is often linked to human rights abuses, environmental damage, and economic crimes such as corruption and tax evasion. While initiatives such as the Kimberley Process Certification Scheme were introduced to curb the trade in conflict diamonds, the UN has warned that weak regulation and complex supply chains continue to create opportunities for illicit activity.
Canal+ outlines cost reductions at MultiChoice
In the media sector, Canal+ Group has set out plans to remove more than R7.5 billion in annual costs from MultiChoice by the 2030 financial year following its acquisition of the pay-TV operator. The French group has identified content costs as a key area for savings, leveraging its scale to renegotiate carriage agreements and sports rights across multiple territories.
Canal+ has already secured new agreements with major content providers and plans further rationalisation across sports, entertainment, procurement, and broadcast infrastructure. The group has indicated that a significant portion of these changes is expected to be implemented by the 2028 financial year.
Rand strengthens as commodities ease
In currency markets, the rand strengthened further, with the dollar trading around R15.90, extending its year-to-date gains to nearly 10%. The firmer currency provided some support to local assets but weighed on rand-hedge shares.
In commodities, gold slipped 0.58% to about $5,030 an ounce in early Tuesday trade after a strong previous session. Silver and platinum also traded lower, reflecting short-term price adjustments rather than a broader shift in demand trends.
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