Investec Plc (INVP), owner of a bank and money manager in South Africa and the U.K., said banking analyst David Kinsey left as the company focuses research on its metals and company coverage and merges its equities operations.
“The sectors we want more are mining and corporates,” Investec Chief Executive Officer Stephen Koseff said today in a telephone interview from Johannesburg. “In banking we’re a competitor. It’s not really a place for us.”
Investec is consolidating equities units in South Africa as margins decline. The lender said today its adjusted earnings per share are expected to drop in the six months through the end of September after costs rose and the rand declined against the pound. The South African currency has dropped after labor unrest in the nation’s mining industry spread and the current account deficit widened more than forecast.
“If the rand stays at 13.60 to the pound it will have some impact,” Koseff said. “Up to 60 percent of our income is from South Africa and the rand has already had an impact on us this year of about 15 percent on average.”
Investec, scheduled to release first-half results on Nov. 20, dropped 0.7 percent to close at 52.30 rand as of 5 p.m. in Johannesburg.
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