South Africa stocks up as rand sell-off lifts overseas earners

A man chats on his mobile phone in front of an electronic board displaying movements in major indices as another man walks at the Johannesburg Stock Exchange building in Sandton December 6, 2012. REUTERS/Siphiwe Sibeko·Reuters· (Reuters)

JOHANNESBURG (Reuters) - South African stocks rose 0.84 percent on Thursday as the rand's fall to its weakest in nearly five years boosted media firm Naspers, furniture maker Steinhoff and other companies with overseas operations. Shares of drug maker Adcock Ingram edged up in active trade, finishing at 70.75 rand, just above the offer price of 70 rand from suitor Bidvest. Adcock's top shareholder, the state pension fund, will not sell its stake to Bidvest for 70 rand, a source familiar with the fund's thinking said, a setback to the local conglomerate's attempt to block a Chilean bid for the company. The benchmark Top-40 index advanced 0.84 percent to 39,587.66. The broad All-Share index gained 0.71 percent to 44,297.66. "The rand is helping the local market," said Oliver Russell, a dealer at brokerage Global Trader. The rand fell to 10.5395 to the dollar, its weakest since March 2009 after it broke through key technical levels. Naspers, a media and e-commerce firm with stakes in China's biggest Internet firm and operations is Brazil, eastern Europe and other emerging markets, rose 3.6 percent to 989.71 rand. A weaker rand lifts earnings when profits from abroad are brought home. Steinhoff, a furniture maker and retailer with extensive operations in Europe, gained 2 percent to 40 rand. Trade was light, with just 152 million shares changing hands according to preliminary bourse data. Advancers outnumbered decliners, 177 to 127, with 53 shares unchanged from the previous close.

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