United States investor declines to shed more light on the Boustead Beef deal


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United States investor, Ethos Asset Management Inc, has declined to give details about its deal with Boustead Beef which entered into an agreement with the government more than three years ago to revive the Cold Storage Company.

Ethos announced on 1 November that it had agreed a long-term financing partnership with Boustead Beef for the refurbishment and restart of the Cold Storage Company and had committed significant capital infusion that would continue for several years.

The company has, however, refused to comment on whether the government, which is a significant player in the CSC, a state-owned enterprise, was involved in the agreement as it was a joint venture-partner with Boustead Beef.

It also refused to clarify how it had entered into a deal with Boustead Beef when the Cold Storage Company was under corporate rescue because Boustead Beef had failed to fulfil its part of the agreement.

“Other than the statement released by Ethos previously, and available on its website, no further comments are envisaged at this point in time,” Ethos said in response to questions from The Insider.

The statement issued by the company simply said: “Ethos Asset Management Inc, USA, announced a new long-term financing partnership with Boustead Beef Limited, Zimbabwe. Ethos has committed to providing significant capital infusion that will continue for several years.

“Carlos Santos, CEO of Ethos Asset Management Inc, stated:’We are delighted to be partnering with such a prestigious company and nationally important organization in Boustead Beef, the largest and dominant meat processing operation in Africa. 

“Boustead Beef is the only integrated beef processing company, and vertically integrated grass fed beef operation in Sub-Saharan Africa. 

“We were very impressed with Boustead’s exceptional standards and level of operation in Zimbabwe. 

“Our decision to invest was consolidated by Boustead’s inspirational President, Mr. Nick Havercroft, a successful farmer, entrepreneur and operational executive who has spent his entire career in Zimbabwe and Africa, acquiring, building to scale and successfully operating farming enterprises. 

“We are absolutely delighted at Ethos to be expanding our investments further into Africa and in particular, Zimbabwe for the first time.”

It was not clear whether Ethos was talking about Boustead Beef or the CSC in its heydays because Boustead Beef has failed to revive the CSC forcing the government to place the company under corporate rescue in December 2020.

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Charles Rukuni
The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

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