Savanna Beef investments at N$102 million

Closing date for buying shares 24 June.
SBPs second milestone of N$100 million had already been exceeded by last Friday, with more than 270 producers investing into the company.
ELVIRA HATTING
Investments by 272 cattle producers in Savanna Beef Processors (SBP) stood at exactly N$102.78 million on Friday.

The forum for the Beef Value Chain (BVCF), in a notice to members on Friday, said their second milestone of N$100 million had already been exceeded on Friday and that strong support has been received from producers.

"Last week on Friday we were still at N$83.57 million, with 186 cattle producers bringing in investment applications. A week later we stand at almost N$20 million more.

"While majority shareholding by producers is now in sight, we need to make sure we improve our shareholding well above 50%. This will have a stabilising effect on the producer-controlled, processing plant and marketing facility for beef,” the BVCF said.

At the same time, the forum itself is constantly gaining new members. Currently, their membership stands at 460 paid-up members.

Producers were informed that the closing date for buying shares is on Friday, 24 June.

“We therefore appeal to producers to make their final arrangements and make sure that all money has been paid over to the given bank account.

"Cirrus Capital has been inundated with administrative work over the past week to finalise the applications for shares," the forum said.

A total of N$200 million worth of shares in SBP are available.

BVCFs chairperson, Mecki Schneider, said after 24 June, the board of directors will conduct their first meeting and decide on the way forward.

"We are busy with a lot of things, such as the marketing campaign.

"We are also working on the infrastructure and have received notices of interest (EOIs) from various sources - also from abroad - to design and build it."

He added that a formal tender process will be followed, and submissions will be presented to investors after the tender evaluations have been concluded.

"In the last quarter of the year we will make submissions to shareholders and they will decide whether to start the construction.

"However, we must first get the financing right.This is still only producers' contribution. We still must go out and get further financing, which will take another month,” said Schneider.

PREFERENCE

Investors were notified that they are in line for preferential treatment, and that slaughter quotas will in principle work according to a few guidelines.

"Shareholders will receive preferential slaughter quotas as well as a 3% premium on the slaughter price of the day. This is only for the number of shares bought at N$4 000 per head.

“If you are a shareholder you are next in line for additional slaughter allocation. If there is more capacity, all the BVCF members, who have not bought shares, will be considered.

"After this, we welcome any other producer to slaughter. We trust there is a general acceptance that producer investors will receive preferential treatment,” the forum said.

Comments

Namibian Sun 2024-11-16

No comments have been left on this article

Please login to leave a comment

Katima Mulilo: 20° | 35° Rundu: 19° | 35° Eenhana: 20° | 36° Oshakati: 23° | 35° Ruacana: 22° | 35° Tsumeb: 22° | 34° Otjiwarongo: 21° | 32° Omaruru: 22° | 36° Windhoek: 20° | 33° Gobabis: 21° | 33° Henties Bay: 16° | 24° Swakopmund: 15° | 17° Walvis Bay: 15° | 23° Rehoboth: 21° | 33° Mariental: 21° | 37° Keetmanshoop: 21° | 38° Aranos: 22° | 37° Lüderitz: 14° | 25° Ariamsvlei: 20° | 39° Oranjemund: 13° | 21° Luanda: 25° | 26° Gaborone: 22° | 35° Lubumbashi: 17° | 32° Mbabane: 17° | 29° Maseru: 16° | 31° Antananarivo: 16° | 32° Lilongwe: 21° | 33° Maputo: 21° | 32° Windhoek: 20° | 33° Cape Town: 16° | 25° Durban: 20° | 25° Johannesburg: 16° | 31° Dar es Salaam: 25° | 31° Lusaka: 20° | 32° Harare: 18° | 28° #REF! #REF!