S.Africa’s Eskom picks banks to help raise funds

* JP Morgan to examine 50 financing proposals

* Credit Suisse to advise on sale of stake in Kusile

JOHANNESBURG, April 12 (BestGrowthStock) – South African state power
firm Eskom [ESCJ.UL] has appointed JP Morgan Chase (JPM.N: ) and
Swiss bank Credit Suisse (CSGN.VX: ) to help raise funds for
expansion, the Business Report newspaper said on Monday.

Eskom plans to raise more than $60 billion to address a
chronic electricity shortage in Africa’s largest economy.

“JP Morgan Chase …was appointed on Thursday to come up
with an overall fund plan for Eskom. Credit Suisse… was
selected as transaction advisor for the sale of an equity stake
in the Kusile coal-fired plant,” the paper said.

Business Report quoted Eskom’s finance director Paul
O’Flaherty as saying JP Morgan would examine 50 proposals to
help the power utility raise funds from the bond markets to
refinance existing plants.

The World Bank on Thursday approved a controversial $3.75
billion loan for Eskom to develop a coal-fired power plant in
South Africa. [ID:nN08193538]

Kusile and Medupi are both planned to have capacities of
4,800 megawatts. [ID:nGEE5BA1YF]

(Reporting by Shapi Shacinda; Editing by Matthew Tostevin)

S.Africa’s Eskom picks banks to help raise funds