LONDON,— The Mutapa Investment Fund (MIF), Zimbabwe’s sovereign wealth fund, is actively seeking investors and is open to offers for some of its portfolio companies, according to Chief Investment Officer Simba Chinyemba.
By Kudzanai Sharara in London, UK
Speaking at the Zimbabwe Capital Markets and Investment Promotion Conference in London yesterday, Chinyemba detailed MIF’s mission to manage companies previously owned by the Zimbabwean government with a focus on making “sound commercial decisions” for their future.
Established under the Sovereign Wealth Fund Act and later renamed, MIF currently oversees over 65 companies across diverse sectors. Chinyemba highlighted the fund’s primary goal of enhancing efficiency and performance within these holdings.
While MIF does not aim to replace the private sector, it is keen on forming partnerships. The fund offers debt financing guarantees to private entities interested in investing in its companies. Chinyemba noted their openness to entertaining offers for some of their holdings.
“Many companies we inherited are underperforming,” Chinyemba admitted. “Our main focus over the next few years is to revitalise these assets for the benefit of the country.”
In a separate interview, Chinyemba emphasized the importance of attracting investment for these “nationally important” assets under MIF’s management.
“We are engaging with investors who are serious about investing in Zimbabwe, understand our dynamics, and are committed for the long term, just like MIF,” he said.
“We are very happy to talk to interested parties.”
MIF’s extensive portfolio includes companies in various sectors, such as ZESA Holdings and Petrotrade (energy), ZUPCO, NRZ, and Air Zimbabwe (transport), Kuvimba and Hwange (mining), POSB and AFC (banking), TelOne and NetOne (telecommunications), and Arda and Cottco (agriculture).
Chinyemba mentioned that potential investments might involve “outright joint ventures or purchasing some of those assets if it aligns with national interests.”
“I can’t specify which assets because it depends on our strategy. However, as we implement turnaround strategies for many of these state-owned enterprises, we are open to discussions with various investors about the way forward,” he added.
“MIF is open for business. We welcome investors to come to Zimbabwe. The opportunities are immense, and the perceived risk is much higher than the real risk in Zimbabwe,” Chinyemba concluded.
Source: Business Weekly
