Realizing the ranking of large African multinationals is relatively redundant. Indeed, the biggest African companies in terms of capitalization and revenues are mainly based in South Africa.That said, and to think outside the box, we invite you to discover, in addition to the large South African firms, other African companies that have managed to make a name in Africa. We will use two studies: one of Forbes magazine, and the Pan-African magazine Jeune Afrique.
According to Forbes magazine, Africa has only 21 companies in the ranking of the 2015 largest companies, a list that has 2,000 companies and multinationals. This classification is based primarily on the results of operations, assets, market capitalization and turnover. These results remain weak given the mineral wealth, water, energy of the continent. Only four countries share the cake: South Africa, Nigeria, Morocco and Egypt. These companies operate mainly in the banking sector and finance, energy, telecoms and agribusiness. Here is the list of those companies with market capitalization:
South Africa :
- Standard Bank 329th World / $ 23.1 billion
- Sasol 366E / $ 21.9 billion
- MTN Group 395th / $ 34.5 billion
- FirstRand 397e / $ 26.9 billion
- Sanlam 602E / $ 14.7 billion
- Steinhoff International 614th / $ 22.3 billion
- Naspers 691st / 67, $ 1 billion
- Bidvest Group 1143rd / $ 9.4 billion
- Remgro 1436th / $ 11.6 billion
- Aspen Pharmacare 1455th / 14, $ 9 billion
- Shoprite Holdings in 1471 è / $ 8 billion
- MMI Holdings è 1625 / $ 4.4 billion
- RMB Holdings 1671st / $ 8.5 billion
- Dangote Cement 1216è / $ 15.6 billion
- Zenith Bank 1498th / $ 4 billion
- FBN Holdings 1595è / $ 1.6 billion
- Guaranty Trust Bank 1787E / $ 4.5 billion
- Attijariwafa Bank 1138th / $ 7.7 billion
- Banque Centrale Populaire 1855è / $ 3.9 billion
- BMCE Bank 1975th / $ 4.1 billion
At Africa, 32 countries are represented by at least one company in the ranking Jeune Afrique has nearly 500 companies. New entrants have appeared in this edition replacing 42 outgoing. Hard to stay focused because everywhere the trend is to the economic downturn. For the first time in sixteen years, the cumulative earnings of 500 companies lost 1.8%. Concerned, the international economic slowdown, oil prices fall and diet declines in global power. Despite this, the figures remain relatively good: since 2008, the cumulative total revenue jumped from 567 to 743 billion dollars.
South Africa comes naturally in first place, accounting for 160 of the 500 companies listed.These companies combine alone 49% of total revenues from this list. Far behind, Algeria with 29 companies, totaling 12.5% of revenues, followed by Morocco with 71 companies and 9.1% of revenue.
Nigeria is no better than Morocco with 25 companies and 6.8% of income while Côte d’Ivoire recorded 29 companies totaling 2.1%.
The first place in this ranking is attributed to the Algerian giant Sontarach which manages the country’s oil production. The Algerian champion totaled $ 67.8 billion in revenue in 2013. However, it is very likely that because of the Algerian oil crisis, the company disappears from the 2016 podium.
An economic model to improve
Beyond the figures, innovative companies are conspicuous by their absence of these two rankings. The economic model studied here reminds the industrial revolution in the second half of the eighteenth century Europe. Businesses, certainly with high added value, but do not seem to revolutionize the economic and cultural landscape. Perhaps will there be in the future for innovative startups and more diversified companies?