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But company officials would neither confirm nor deny the claims and would not discuss finer details on the investors.
Lobels is trying to revive operations with capacity utilisation estimated at an all-time low of 20 percent.
“There is activity going on in terms of new investors,” said a source. “Negotiations are at an advanced stage with an investor.
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“There are several options on the table and it (the CZI-linked local consortium) could be one of (the investors.”
Lobels resident director Retired Brigadier David Chiweza said they were pursuing many options he would not discuss at the moment.
But informed sources said a consortium of local businessmen was closing in on a stake in the bread-making firm.
Sources in CZI would also not confirm the deal, but hinted there were manoeuvres by some of its members to acquire Lobels.
“We are not able to comment publicly at the moment, but an official statement would be released by Friday next week,” they said.
“It is difficult to comment on the deal at this moment as there are some caveats (cautions not to comment) on it.”
But unconfirmed reports last year indicated Kayseed Trading, owned by a local consortium, invested an undisclosed amount in Lobels to enable it to resume production.
This came as the troubled firm announced last December that it would immediately reveal the investor’s identity.
This follows an agreement between the bread-maker and trade creditors to suspend the sale in execution to allow time for the investor.
Under the arrangement, its assets were transferred to Lobels 1 and capitalised as 98 percent debentures and 2 percent ordinary shares to be changed over in favour of trustees of debentures.
Lobels 2 would lease assets from Lobels 1, operationalise the equipment and raise funds to revive the business .
Lobels 2 will pay rentals to Lobels 1, which the latter would use to clear its multimillion-dollar liabilities to banks and creditors.
Assets in Lobels 1 form the security to debenture holders and are administered trustees (the advisors) and a proxy for creditors.
Lobels owes banks US$14 million, which attracts between 15 and 45 percent interest and trade creditors about US$4 million.
In a bid to salvage its future, Lobels engaged leading financial advisors CBZ Bank and renowned lawyers Dube, Manikai and Hwacha to devise a framework to revive the firm.
According to the framework the amount owed to banks was converted to three (or other term) debenture to give Lobels some relief.
The firm has since resumed limited production and is operating on the basis of the concept framework devised by its advisors.
It planned to pay small creditors US$30 000 each while bigger creditors would be paid 30 percent of what they are owed.
Online Reporter