Southern Africa Fund, Inc. announces resignation of sub-adviser

Business Wire, Feb 11, 1997

NEW YORK--(BUSINESS WIRE)--February 11, 1997--The Southern Africa Fund, Inc. (the "Fund")(NYSE: SOA), a registered closed-end investment company, today announced that it has accepted the resignation of Investec Asset Management (International) Limited ("Investec") as one of the Fund's two Sub-Advisers.

The Fund's Investment Manager is Alliance Capital Management L.P. ("Alliance"), a major international investment manager. Since the inception of its operations in March 1994, the Fund has also retained two Sub-Advisers, Investec and Sanlam Asset Management (Gibraltar) Limited.

Commenting upon the resignation of Investec, Dave H. Williams, Chairman of Alliance and of the Fund's Board of Directors, stated that "as the Fund's consistently superior investment performance suggests, particularly during its early days the Fund substantially benefited from its use of two sub- advisers. However, in the nearly three years since the Fund's inception, Alliance's own expertise regarding Southern Africa has increased to the point that it is now appropriate for the Fund to follow the more conventional pattern of having only one sub- adviser. This will have the immediate effect of reducing the Fund's expense ratio by approximately 19 basis points per annum."

Mr. Williams further stated that "no organization was more instrumental than Investec in helping Alliance to create and launch the Fund, and Investec's exceptional expertise and resourcefulness have conferred a large and lasting benefit on the Fund and its shareholders. We are very pleased in this regard that Mr. Stephen Koseff, the Chief Executive of Investec, will remain a Director of the Fund, and that the Fund's ties with Investec will thus extend into the future".

Mr. Koseff said that "our mission of assisting in the successful establishment of the Fund has been accomplished. In the light of Investec's strategy of internationalization, it was appropriate to resign so as to avoid any future conflict of interest."

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