American firm seeks stake in Bolux
Isaac Pinielo | Tuesday March 3, 2015 10:30
Seaboard Botswana Holdings is a company registered in the Bahamas, which was established for the purpose of acquiring the minority interest in Bolux Group. It is a wholly owned subsidiary of Seaboard Corporation, a US listed entity with investments globally, in the food processing grain-trading sector.
Nkosi Mwaba, Bolux Group head of corporate affairs, indicated that the purpose of this transaction was to secure an investment and inject capital into the company. He said Bolux Group operated a plant, which was 30 years old and in need of refurbishment and technological upgrades.
Mwaba also said the transaction would include re-capitalisation of the company in order to bring the Bolux operations up to speed with modern technology and improve efficiency.
“This is a necessary step in order for the company to remain competitive and achieve growth and sustainability in line with the company’s strategy going forward,” he said.
Although Mwaba declined to disclose the value of the transaction, he noted that it was a welcome investment, not only for the operations of Bolux, but also for Botswana’s plans to attract foreign direct investment.
Bolux Group is a company incorporated under the laws of Botswana. It is wholly owned by Corbis Bolux, a South African company. The company is in the business of production of wheat flour, maize meal, pasta and bread in Botswana, with estimated market shares of 60 percent (wheat flour), 30 percent (maize meal) and 40 percent (pasta). Bolux Group has been milling in Botswana since 1984 and is a major local producer and distributor in Botswana. Employing over 400 Batswana, the company produces and packages brands like, A1 Super Maize meal brand, Snow White flour and Polana pasta at its plant in Ramotswa.