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South Africa: Tongaat Hulett Limited Business Rescue Update - Preferred Bidder Selected
Tongaat Hulett, 21 July 2023
The business rescue practitioners (BRPs) today announced that the preferred strategic equity partner (SEP) has been selected. Read more »
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South Africa: Tongaat Hulett's Uncertain Future Looms Large
Daily Maverick, 28 June 2022
Sugar producer Tongaat's ill-fated capital-raising deal with Zimbabwe's controversial Rudland family is finally over. But where to now for a highly indebted company? Read more »
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South Africa: Troubled Tongaat Says Secures IDC Funding to Complete Season and Prepare for Next Year
Daily Maverick, 29 December 2022
Troubled sugar producer Tongaat Hulett, which entered business rescue in October, has acquired "post commencement finance" from the Industrial Development Corporation of South… Read more »
Questions Over South African Sugar Giant's Business Rescue Deal
The South African Industrial Development Corporation (IDC) is embroiled in a row after it chose a Tanzanian company, Kagera Sugar Limited, to buy the assets of ailing South African sugar giant Tongaat Hulett which has been under business rescue since October 2022.
Tongaat Hullett, which has agro-processing operations in South Africa, Mozambique and Zimbabwe, has been embroiled in accounting scandals and debts for the past two years. The firm focuses on cane growing, sugar milling and refining throughout the Southern African region.
On July 21, 2023, Tongaat Hulett made the business rescue announcement on its website, stating: "The proposed transaction will comprise the acquisition of the complete sugar division of Tongaat Hulett Limited (THL) in South Africa and the investments in Zimbabwe, Mozambique and Botswana (Tongaat Sugar Assets). The selected Strategic Equity Partner (SEP), Kagera Sugar Limited (Kagera), is a sugar manufacturing company situated in Kagera in the North-Western part of Tanzania. It is part of a group of companies which are the largest producers of sugar in Tanzania and owns sugar assets in Tanzania, the Democratic Republic of Congo and the Middle East."
Now, a South African consortium led by billionaire businessman Robert Gumede has written to the IDC, demanding answers after being overlooked in favour of Kagera in the battle to become Tongaat Hulett's preferred SEP, writes Sihle Mlambo for IOL.
