Mauritius’s Alteo Group to run Swaziland’s $280 mn sugar project
Mauritius’s Alteo Group has been chosen to run the $280 mn (Rs 8.6 billion) sugar mill by Swaziland’s Nsoko Msele Integrated Sugar Project, with an employment generation capacity of 6,400 workers. (Image: business.mega.mu)
Mauritius’s Alteo Group, a multi-sector investment group, has been selected from a global shortlist of 5 companies to run the new, $280 mn (Rs 8.6 billion) sugar mill by Swaziland’s Nsoko Msele Integrated Sugar Project.
Five companies, some all the way from the United States of America, were all in the running to tender their services. Mavela Sigwane of SIMAV SHEQ Consultancy, the project coordinators, finally revealed yesterday that Lubombo-based Nsoko Msele signed an exclusivity agreement with the Alteo Group last week.
Sigwane stressed the importance of roping in an operator with a “good track record”, which after a thorough assessment exercise, pointed to the Mauritius major.
Sigwane noted that bringing Alteo on board provides the additional expertise and resources required to ensure the successful implementation of Swaziland’s fourth sugar mill.
Adding that the choice of the Alteo Group was viewed as significant step forward, Sigwane mentioned that the conglomerate is listed on the Mauritius Stock Exchange.
The project concept and pre-feasibility study were carried out in 2011 and 2012. Nsoko Msele commenced a bankable feasibility study in the start of the year and has now zeroed in on a strategic partner. The focus will now move to physically establishing a sugar mill at Nsoko, planned to be built on a 120 hectare site adjacent to the Nsoko rail line, operated by Swaziland Railways.
Sigwave underscored that the selection of a strategic partner was a milestone in the venture, expected to generate employment for 6,400 workers. The mill is expected to operate at full level by the year 2017.
Alteo is a multi-sector investment group with sugar cane estates of approximately 30,000 and 20,000 hectares across Mauritius and mainland Africa. Combined with sugar cane supply from dedicated out-growers, Alteo produces approximately 250,000 tonnes of sugar annually as well as electricity for supply to the national grid.
The Nsoko Msele Integrated Sugar Project is a partnership between commercial farmers and the local community. The project, envisaged as the fourth such enterprise in Swaziland, covers the development of an integrated sugar mill producing sugar, ethanol and electricity.
(Source: Times of Swaziland)
In July 2012, the merger of Flacq United Estates Limited (FUEL) and Deep River-Beau Champ Ltd (DRBC), formerly CIEL Agro-Industry, gave birth to a new multi-sector investment group, Alteo Limited.
Atleo Limited was listed on the Mauritius Stock Exchange in July 2012 and achieved a market capitalization of close to Rs 10 billion in August 2012.
The Alteo Group has 2,100 employees in Mauritius, where it has nearly 30,000 acres under cane cultivation, mills an average 160,000 tonnes of sugarcane and has an energy production capacity of 62 mW. Its other activities include poultry farming (Island Fresh Ltd), property development (Anahita Estates & Golf and so on), and tourism and leisure (Four Seasons Resorts Mauritius, Anahita The Resorts and the Domaine de l’Etoile).
The Alteo Group is also actively involved in Tanzania through TPC Ltd and in Mozambique through Marromeu, and works closely with its partner, Tereos, a global player in the sugar sector. In Africa, Alteo has a 2,000-strong workforce (as well as employs some 1,500 seasonal workers), farms nearly 20,000 acres and produces 90,000 tonnes of sugar annually.
Source: Company Website