Business / Local
Merlin re-opening in three months, says Lupepe
24 Mar 2016 at 01:25hrs | Views
DORMANT Bulawayo textiles giant, Merlin (Pvt) Limited, is set for re-opening "in the next three months", key shareholder Delma Lupepe said yesterday.
The company has remained defunct after being placed under provisional judicial management in 2011.
Initial plans to rescuscitate it stalled last year after interested groups and some creditors clashed over the appointment of Harare-based Cecil Matondo of Tudor House, as judicial manager. Matondo was accused of allegedly failing to come up with a plan to revamp the firm and present a progress report to the shareholders and the Master of the High Court. The company's creditors are still to be paid and workers remain redundant.
"Merlin will be opening in the next three months. We're doing all things to rescuscitate it and we're now finalising the issue with our investors," said Lupepe.
"Documents have been signed and in principle we've agreed that Merlin must be re-opened. This is positive news for Bulawayo."
He could not disclose the amount to be invested saying the information was still confidential.
Lupepe is, however, on record saying shareholders have successfully applied for removal of the company from judicial management citing lack of progress in the resuscitation of the company and failure by Matondo to fulfil his promises.
He has hinted that shareholders had found a credible investor who is prepared to pour $30 million into Merlin for new equipment including machinery for manufacturing diapers and sanitary wear for women.
He has said it was the shareholders' plan to repair the equipment using spares that were received from Europe after the ill-advised action of the workers union to place it under judicial management.
According to the shareholders' resuscitation plan, the first phase was to repair the equipment from spares at hand over the shut down period.
Lupepe, who also has investment interests in mining, believes the future is bright for Bulawayo and that businesses that have deserted the city in the past few years made a huge blunder.
"While others are running away citing indigenisation issues we're moving in. As businesses we can't blame all things on the government.
There's a lot we can do on our own. We need to think outside the box or rather throw the box away altogether," he said.
Lupepe said it was high time businesspeople in Bulawayo changed their mindset and grabbed existing opportunities to turn around the city's economy.
"Opportunities and ideas are there but as businesses, me included, we need to change our mindsets.
"If your mind is blocked or misdirected, even the government can't do anything for you. Let's direct our energy to positive ideas than complaining."
The company has remained defunct after being placed under provisional judicial management in 2011.
Initial plans to rescuscitate it stalled last year after interested groups and some creditors clashed over the appointment of Harare-based Cecil Matondo of Tudor House, as judicial manager. Matondo was accused of allegedly failing to come up with a plan to revamp the firm and present a progress report to the shareholders and the Master of the High Court. The company's creditors are still to be paid and workers remain redundant.
"Merlin will be opening in the next three months. We're doing all things to rescuscitate it and we're now finalising the issue with our investors," said Lupepe.
"Documents have been signed and in principle we've agreed that Merlin must be re-opened. This is positive news for Bulawayo."
He could not disclose the amount to be invested saying the information was still confidential.
Lupepe is, however, on record saying shareholders have successfully applied for removal of the company from judicial management citing lack of progress in the resuscitation of the company and failure by Matondo to fulfil his promises.
He has hinted that shareholders had found a credible investor who is prepared to pour $30 million into Merlin for new equipment including machinery for manufacturing diapers and sanitary wear for women.
According to the shareholders' resuscitation plan, the first phase was to repair the equipment from spares at hand over the shut down period.
Lupepe, who also has investment interests in mining, believes the future is bright for Bulawayo and that businesses that have deserted the city in the past few years made a huge blunder.
"While others are running away citing indigenisation issues we're moving in. As businesses we can't blame all things on the government.
There's a lot we can do on our own. We need to think outside the box or rather throw the box away altogether," he said.
Lupepe said it was high time businesspeople in Bulawayo changed their mindset and grabbed existing opportunities to turn around the city's economy.
"Opportunities and ideas are there but as businesses, me included, we need to change our mindsets.
"If your mind is blocked or misdirected, even the government can't do anything for you. Let's direct our energy to positive ideas than complaining."
Source - chronicle
