US firm inks $1bn in­vest­ment deal

The Herald (Zimbabwe) - - Front Page - Daniel Ne­mukuyu Se­nior Re­porter

AN Amer­i­can com­pany, Hondius Cap­i­tal Man­age­ment, yes­ter­day signed a $1 bil­lion in­vest­ment part­ner­ship with the In­fras­truc­ture De­vel­op­ment Bank of Zim­babwe (IDBZ), with a view to bankrolling Zim­babwe’s min­ing and in­fras­truc­tural de­vel­op­ment projects.

The firm, which is head­quar­tered in New York, will mo­bilise fund­ing for the projects in part­ner­ship with Zim­babwe in terms of the agree­ment.

Zim­babwe signed the part­ner­ship af­ter a due dili­gence ex­er­cise that con­firmed the fi­nan­cial ca­pac­ity of Hondius Cap­i­tal.

Speak­ing at the sign­ing cer­e­mony in Harare yes­ter­day, chair­per­son of the One-Stop In­vest­ment Ser­vices Cen­tre (OSISC) Dr Wash­ing­ton Mbizvo said the project would ben­e­fit Zim­babwe a great deal.

“Zim­babwe stands to ben­e­fit not only through the US$1 bil­lion in­fras­truc­ture de­vel­op­ment fund, but through down­stream ben­e­fits such as em­ploy­ment gen­er­a­tion, en­hanced for­eign di­rect in­vest­ment, moderni­sa­tion of the econ­omy through tech­nol­ogy and skills trans­fer and in­deed through re­fur­bish­ing of some of our em­bassies such as the Zim­babwe House in New York and in Wash­ing­ton.”

Dr Mbizvo said the ne­go­ti­a­tions started way back with high-level ne­go­ti­a­tions that in­volved the Of­fice of the Pres­i­dent and Cab­i­net, Min­istry of Fi­nance and Eco­nomic De­vel­op­ment, IDBZ, For­eign Af­fairs and In­ter­na­tional Trade, the At­tor­ney gen­eral and OSISC.

Last month, Gov­ern­ment sent a del­e­ga­tion to New York for due dili­gence be­fore the par­ties agreed to the part­ner­ship.

“In pur­suit of the fi­nal­i­sa­tion of this part­ner­ship, the Gov­ern­ment sent a del­e­ga­tion to

New York led by the Of­fice of the Pres­i­dent and Cab­i­net, from Septem­ber 5-7 2018,” said Dr Mbizvo.

“The del­e­ga­tion was pleased with the fi­nan­cial ca­pac­ity of Hondius Cap­i­tal Man­age­ment and its abil­ity to mo­bilise fund­ing to­wards the US$1 bil­lion for our var­i­ous projects and hence rec­om­men­da­tion to Gov­ern­ment and in­deed to the Pres­i­dent to join in this noble part­ner­ship.”

In an in­ter­view, Hondius Cap­i­tal manag­ing di­rec­tor Mr Jack Hef­fer­nan said his com­pany was com­mit­ted to in­vest­ing in Zim­babwe.

“I have been in Africa for 12 years work­ing with dif­fer­ent coun­tries, but Zim­babwe has the best in­vest­ment op­por­tu­ni­ties,” he said.

“We will mo­bilise funds from pen­sion funds, in­sur­ance com­pa­nies and other fi­nan­cial en­ti­ties to fund the projects in Zim­babwe.”

Dr Thomas Zondo Sakala, CEO of IDBZ, signed on be­half of the in­sti­tu­tion.

Hondius Cap­i­tal Man­age­ment is an en­tity reg­is­tered in New York in­volved in fi­nan­cial as­set man­age­ment, hedge fund in­vest­ment ser­vices, cap­i­tal in­vest­ment ser­vices and in­vest­ment ad­vi­sory ser­vices.

The new dis­pen­sa­tion un­der the stew­ard­ship of Pres­i­dent Mnan­gagwa has an­chored its eco­nomic turn­around strat­egy on a num­ber of fac­tors, in­clud­ing open­ing Zim­babwe up for for­eign in­vest­ment and re-en­gag­ing the in­ter­na­tional com­mu­nity.

It has also re­moved reg­u­la­tions that hin­dered in­vest­ment in the coun­try like the indi­geni­sa­tion and eco­nomic em­pow­er­ment law.

In­fras­truc­ture De­vel­op­ment Bank of Zim­babwe (IDBZ) Chief Ex­ec­u­tive Of­fi­cer Dr Thomas Zondo Sakala (cen­tre) and Hondius Cap­i­tal Man­age­ment manag­ing di­rec­tor Mr Jack Hef­fer­man (right) ex­change doc­u­ments while One-stop In­vest­ment Ser­vices Cen­tre chair­man and Per­ma­nent Sec­re­tary in the Of­fice of the Pres­i­dent and Cab­i­net Dr Wash­ing­ton Mbizvo (left) wit­ness dur­ing the sign­ing cer­e­mony in Harare yes­ter­day. — (Pic­ture by Me­mory Man­gombe)

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