Andrew
Online Reporter
GOVERNMENT has announced the Independent Petroleum Group, a Kuwaiti energy company that sells crude oil and petroleum products across the world, as its preferred suitor for a stake in Petrotrade.
Addressing Tuesday’s post-Cabinet briefing, Information, Publicity and Broadcasting Services Minister Monica Mutsvangwa said Cabinet is now implementing its 2019 resolution to merge Petrotrade and Genesis Energy, with the ultimate goal to partially privatise the petroleum trading company.
“The transaction advisor proposed three merging methods or options, that is: (1) purchase of assets, (2) business purchase and (3) establishment of a new company.
“Cabinet wishes to inform the public that it approved the business purchase merging method since it fulfils the Government’s objective of merging Petrotrade and Genesis Energy at the least restructuring cost,” said Minister Mutsvangwa.
“The option will preserve the value created to date by both entities over the years and will ensure minimum disruption to the current operations.”
The move is part of Government’s plan to restructure State-owned enterprises.
Forty-one (41) entities are being targeted.
derick.khumalo
Online Reporter