* S'holders, finance ministers back Mauritius bourse stake
* Expect new listings on Africa bourse in H2
* EPS boosted by trading volumes, increased foreign buying
* Shares closed down, lagging a firmer index (Recasts with Mauritius Stock Exchange comments, adds CEO comments, details, updates shares)
By Serena Chaudhry
JOHANNESBURG, Aug 18 (Reuters) - South African bourse operator JSE Ltd has shareholder backing to buy a stake in the Mauritius Stock Exchange (SEM) and expects more listings on its Africa bourse to expand its presence on the continent.
JSE Chief Executive Russell Loubser said on Tuesday the stock market operator had the support of shareholders and the Mauritian and South African finance ministries to buy a stake in SEM, and was awaiting approval from the Mauritius regulator.
"Their regulator is still considering the deal so that's where it's sitting at the moment. Everybody else wants to see the deal take place," Loubser told Reuters after the JSE released its first-half results. He declined to give details on the size or value of the deal.
The JSE has been trying to expand its footprint in Africa and launched the JSE Africa Board in February to encourage companies elsewhere on the continent to take a secondary listing on the JSE.
It said in March it was looking to buy a strategic stake in Mauritius's bourse. The Indian Ocean island is one of Africa's most stable and prosperous countries and its stock exchange is a member of the World Federation of Exchanges (WFE).
NEW LISTINGS
Loubser said he expected at least four new listings, mainly resource firms, on the main board in the second half of the year, as well as some new companies on the Africa board in the next six months.
"We've targeted a few countries that have got sizeable companies in them. We're talking about Nigeria, Ghana, Mauritius, Zambia, Kenya ... There could even be more from Namibia," he said.
The JSE reported a 6 percent rise to 215.6 cents in basic earnings per share for the six months to end June, compared to 202.8 cents in the year-ago period. However, it said it could not guarantee trading volumes would hold up in the second half.
Group revenue climbed 7 percent to 544.5 million rand ($67.20 million) as more volatile market conditions buoyed volumes and foreign interest in the South African cash equities market picked up.
"They had a very good half in terms of cash equities number of trades," one Johannesburg-based financial services analyst said. "In relation to the rest of the financial services, this is obviously very positive ... they're potentially one of the few companies to report positive earnings." JSE shares closed down at 58.50 rand, lagging a firmer JSE All-share index.
The Bond Exchange of South Africa (BESA), which the JSE bought for $23.6 million last year, reported a loss of 3.3 million rand for January 1 to June 21, operating as a separate entity. It contributed revenue and other income of 1.3 million rand and a net loss of 0.7 million rand to the JSE's results for June 22-30.
The JSE and BESA hope to boost trade in derivative interest rate instruments, which is low compared to other international exchanges, and have said the merger will help increase the types of instruments available to investors and improve liquidity. ($1=8.102 Rand) (Editing by Rupert Winchester)