Business

Ticano Group- SPEDU deal unlocks P250m enterprise financing

Pauline Dikuelo | Wednesday August 26, 2026 06:00

The MOA was signed by the SPEDU Caretaker Chief Executive Officer, Mr. Ronnie Phuthego and Ticano Group (Pty) Ltd Chief Executive Officer, Mr. Opelo Motswagae.
 
The MOA was signed by the SPEDU Caretaker Chief Executive Officer, Mr. Ronnie Phuthego and Ticano Group (Pty) Ltd Chief Executive Officer, Mr. Opelo Motswagae.

Under the agreement, which was formalised through a Memorandum of Agreement (MOA), working capital and supply chain financing challenges will be addressed while strengthening supplier development, investment readiness and market access for local businesses. Ticano Group, the supply chain finance firm, will provide an indicative financing envelope of up to P250 million, subject to applicable funding criteria and assessment. The deal gives eligible businesses access to a range of financing solutions, including purchase order finance, invoice discounting, contract finance, asset finance and other working capital facilities. According to officials, the initiative is expected to particularly benefit citizen-owned, youth-owned, women-owned and disability-owned businesses, supporting greater participation of local enterprises in economic activity and supply chains.

Priority sectors under the programme include manufacturing, agribusiness, tourism, mining services, logistics, renewable energy and the green economy. These sectors are considered important to the region's economic diversification and long-term development. The financing initiative is also expected to help businesses overcome liquidity constraints that can limit their ability to fulfil contracts, purchase equipment, expand operations and participate effectively in supply chains. SPEDU Caretaker CEO, Ronnie Phuthego explained the partnership forms part of its continued efforts to establish strategic collaborations that unlock investment opportunities.

'SPEDU continues to strengthen strategic partnerships that unlock investment opportunities, enhance local participation and drive sustainable economic growth across the region,' he said. Earlier this year, SPEDU announced that in partnership with Citizen Entrepreneurial Development Agency and the Local Enterprise Authority, has established a P25 million fund aimed at reviving the 18 companies that had shut down operations in the SPEDU region. In addition, they said SPEDU has assembled a diversified industrial investment pipeline valued at approximately P6 billion. The projects include e-mobility initiatives, metallurgical beneficiation, the development of a smelter, tailings processing within the region, and agro-processing ventures powered by renewable energy, all aimed at revitalising the SPEDU region.

SPEDU has 103 plots of which 74 are cottage industry plots, 28 for large scale heavy industrial and one for commercial earmarked for government’s Economic Diversification Drive. Out of the 28 large scale heavy industrial plots, 46% have been allocated to investors, 29% remain vacant, and 18 are reserved for future strategic investments. Out of 74 cottage industrial plots, 38 have been allocated whilst 28 remain vacant. Out of the allocated ones, only four are fully developed whilst 89% remain undeveloped or partially serviced.