investors

Magwa is looking for a strategic equity partner who may be interested in acquiring shareholding …

Expression of Interest- closed

As a way of strengthening and securing the company’s future, Magwa is looking for a strategic equity partner who may be interested in acquiring shareholding and, or assets in Magwa and its sister company, Majola Tea Estates.

In an expression of interest (EoI) published in the local media by the Eastern Cape Rural Development Agency (ECRDA), the Agency said the right to partner could be an empowerment or a joint venture. The most important thing is that the investor should be reputable, a key stakeholder, or otherwise have strong linkages to the tea industry as well as other agricultural or horticultural commodities. The investor may be in an industry that has the potential to utilize the land, factories, buildings, equipment and retain employees.

The interested parties may collaborate with other parties in order to provide a complete solution.

The EoI should include the required minimum information, the details of which are available from the ECRDA website at and interested investors are required to submit their EoI complete with required minimum.

Need more information ?

More details are available from the ECRDA website at https://www.ecrda.co.za/index.php/tenders

 

Interested in investing ?

Submit their EoI complete with required minimum requirement by email to: Esbenm@ecrda.co.za

Business Rescue Process

The fragrant, lime-green bushes stretch away to the horizon at the biggest tea plantation in the southern hemisphere. It is a deceptively tranquil scene. Magwa and Majola Tea Estates are in the process of being merged to form a single tea estate. The business rescue plan that is formulated contemplates the consolidation of the two businesses which would achieve certain objectives, including economies of scale and the imposition of one management structure.

There are still some minor challenges identified by the Business Rescue Practitioner that relates to the tea fields having old seedling material, which makes it not to produce the same quality and yields as more recent clonal plants.  Some blocks are out-grown to a height where productive plucking is not possible.  A pruning exercise has been started on both estates.

In November 2017, a tea harvest day was held in Magwa to showcase the current business rescue interventions and reposition Magwa as a premium brand name in the tea industry.

 Thulami Mtembu has worked at Magwa tea farm for 33 years. For him it’s more than a job. “It’s the smell. Every day I come here I feel so refreshed,” he says. “I love the aroma of the tea bush. The conditions here make our tea special.”