The Institute of Asset Management and State Participation (IGAPE) intends to privatize, later this year, three projects linked to the CIF, with a view to making them more profitable for the national economy and reducing burdens on the Government
To this end, within 30 days (until mid-April), this entity will launch a public tender for private companies, with the financial, technical and technological capacity to manage these units, and with qualified human resources. IGAPE is currently completing the preparation and consolidation of the parts of the privatization process of the three industrial units of the China International Fund (CIF), using several consultation sessions with businesspeople and civil society.
According to the head of IGAPE’s Privatization Department, Hortêncio Sanumbutue, among the units to be sold are the Bela brewery, a cement plant and logistics center, as well as the Zenza brand car factory. Speaking to the press yesterday, the person responsible explained that the privatization of these units takes place in the form of a limited competition based on prior qualification, in which candidates must submit proposals for the exploration and management of these assets, for a period of 10 years, with the possibility of purchase following this period.
In turn, when intervening in the consultation on privatizations, particularly the cement company, the administrator of Cimangola, Manuel da Silva Pacavira Júnior, highlighted that the process must represent an added value for the State. “There is no point in carrying out a process like this if, in fact, there is no added value for the State, as cement plants are very capital-intensive projects, and the cost of factories like CIF can reach 900 million dollars in the initial phase” , he considered.
On the occasion, he called for the improvement of the technical condition of the cement factory, specifically the recovery, before privatization, of the two kilns that are out of service to increase the value of that seized asset as part of the fight once morest corruption. The sale of these properties and others still under the management of the Angolan State takes place within the scope of the Privatization Program (PROPRIV), started in 2019, preferably favoring the route of commercial public offering on the Angolan Debt and Securities Exchange (BODIVA). The new privatization phase takes place in the period 2023-2026, in light of Presidential Decree No. 78/23, of March 28, which approves the extension of the execution period of the Privatization Program (PROPRIV).
The extension of the deadline is justified, according to the Decree, by the need to complete the restructuring processes, which include national reference companies such as Sonangol and Empresa Nacional de Diamantes (ENDIAMA), which redefined the scopes of activity . Likewise, it is due to the emergence of new assets to be privatized through the asset recovery process and the need to create an active privatization mechanism, during the period of reform of the Public Enterprise Sector (SEP).
