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Consultants appointed for BMC privatization

patriot by patriot
January 3, 2021
in News
0

The long awaited privatization of debt riddled Botswana Meat Commission (BMC) is now taking shape with the appointment of consultants for the process.

Addressing members of the media on Friday, Chief Executive Officer Public Enterprises Evaluation and Privatization Agency (PEEPA) Obakeng Moumakwa revealed that Minchin & Kelly has been selected as the preferred consultants.“Their responsibilities will include carrying out a business, financial and human resource assessment of BMC; valuation of BMC; developing a strategy and transaction plan to guide the privatization; and submitting a comprehensive Project Completion Report at the end of the project,” he said.

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Government made a decision to privatize BMC in February 2018 and PEEPA as the custodian of the privatization policy was tasked with leading the privatization process. In the same vein government decided to retain the Maun Abattoir for strategic purposes and will engage a strategic partner to operate it through a Concession Agreement.

According to Moumakwa in March 2019 they sought the services of a Transaction Advisor to assist them with separating the Maun Abattoir from BMC Lobatse and Francistown. Deloitte Consulting has been selected as the preferred Transaction Advisors for the concession of Maun Abattoir.

Moumakwa said Deloitte Consulting will also assist them with engaging a Concessionaire to operate the Maun Abattoir as well as assisting in establishing a new limited liability company t house BMC Maun.

“They will also assist in providing technical advice during negotiations and finalization and signing of concession agreement with the preferred Concessionaire,” he revealed.

One of the reasons for retaining Maun Abattoir according to Moumakwa is to deter farmers from smuggling cattle from the Foot and Mouth Disease infested area into the green zone as this would endanger Botswana’s beef industry.

Maun Abattoir serves farmers in the Red Zone.

Recently BMC was in the news for wrong reasons after former Speaker of the National Assembly Patrick Balopi through his company; Walgreen Investments seized some of their assets over the P40 million owed to him.

Tags: BMC
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