BDC Raises P500m For Investments
Kaone Maje | Monday December 17, 2018 14:24
The Corporation’s Managing Director Bashi Gaetsaloe revealed this at a stakeholder briefing last week Thursday.
According to Gaetsaloe, some of the amount will be pumped into pursuing investments in the local health care sector.
The remaining amount will be channelled into foreign countries investments including Kenya Nigeria and Ghana respectively. Oil refineries, energy and telecommunications sectors are the industries eyed by the development corporation. “In our performance insights, we have two aspects being new business and portfolio management.
We closed the year with a quality pipeline in excess of P1.5 billion. Our approved investments are worth P500 million during the year covering services, healthcare, logistics, agri-business and manufacturing. We are still pursuing investments in countries including Ghana, Nigeria, Kenya and Mauritius,” said Gaetsaloe.
The approved international transactions of BDC are at infancy and yet to be announced by the organisation. In the portfolio management aspect, Gaetsaloe revealed that 80% of their portfolio companies are profitable. He also revealed that their companies have sustained a total of 5,000 jobs creating 520 new jobs.The Corporation is currently operating on the fourth year of their five-year turnaround strategic plan.
According to the Chief Financial Officer, Maranyane Makhondo, the group recorded P187 million, 39% increase from P135 million recorded last year.
“Investment assets grew by 13% while total assets grew by five percent as a result of heavy investments. The company performance is characterised by improved interest rate profile, 20% growth interest income, net worth growth of five percent and reduction on shareholders”, she said.
Impairments have decreased by 62%, with the development parastatal having reduced loss-making subsidiaries from nine to two. According to the MD restructuring is ongoing to align the objectives and missions of BDC with that of its subsidiaries.
BDC has recently established a Reserve Fund, an Investment Fund capitalised at over P230 million and transferred P285 million of listed stock to public by divestments.