Vision Group secures political, regulatory backing

PHILLIMON MHLANGA

Vision Group, the new controlling shareholders of Tongaat Hulett’s Zimbabwe operations, have hit the ground running, securing strong political and regulatory backing through a flurry of high-level engagements aimed at reviving Zimbabwe’s struggling sugar industry.

Business Times, a market leader in business, financial and economic reportage,  can report that the Johannesburg -based consortium, led by  South African business mogul Robert Gumede and partners Rute Moyo, Nauman Khan  and others , who are now firmly in control of Tongaat Hulett’s Zimbabwea assets, were in Harare this week for a series of tightly coordinated  meetings  with key State and institutional stakeholders.

The Vision Group  director Moyo, confirmed  that the leadership team  held formal discussions  with President Emmerson Mnangagwa, the Reserve Bank of Zimbabwe (RBZ), the International Monetary Fund (IMF), and key Cabinet ministers responsible for finance, agriculture, industry, and provincial affairs.

“We started the day (Monday) with a courtesy call on President Mnangagwa to brief him on the transaction and to thank him for the unwavering support we’ve received from the Zimbabwean authorities,” Moyo said.

Following the presidential meeting, the team engaged RBZ Governor Dr. John Mushayavanhu and his deputies with talks centred on  pending exchange control approvals.

“The central bank confirmed that our application is under active consideration. We expect a formal response within the next fortnight,” Moyo said.

At the International Monetary Fund (IMF), Vision Group’s presentation sparked discussions around potential institutional participation in the group’s shareholding.

“We are open to IMF involvement. Sugar is a regulated, multisectoral industry. Broader institutional investment aligns well with our values of transparency, inclusion, and long-term stability,” Moyo said.

“There’s no stronger symbol of inclusive economic participation than having MIF on board. It ensures broad-based national benefit in what is a strategic sector,” Moyo said.

Vision Group’s high-level delegation also met with Finance Minister Professor Mthuli Ncube, Agriculture Minister Anxious Masuka, Industry and Commerce Minister  Mangaliso Ndlovu, and Masvingo Provincial Affairs Minister Ezra Chadzamira.

The Vision Group also met with local communities  and outgrowers in the Lowveld.

“These were open and honest conversations about the state of the industry. The feedback was overwhelmingly supportive. There is clear consensus that the sugar sector needs urgent transformation,” Moyo said.

Hippo Valley Estates Chairman Canaan Dube added:“We are committed to ethical leadership, fair investor returns, and inclusive stakeholder partnerships. Zimbabwe has welcomed Vision Group—and we’re ready to get to work.”

Vision Group’s acquisition of Triangle Sugar Corporation (100%) and a 50.3% stake in Hippo Valley Estates (listed on the ZSE) was finalised in December 2024, pending regulatory approvals.

The deal forms part of the group’s wider expansion into agri-processing across Southern Africa.

Group CEO Gavin Dalgleish emphasised that sugar is a long-cycle, capital-heavy business.

“This industry requires replanting every decade and constant reinvestment in infrastructure. Our initial focus is stabilisation and efficiency. Growth will follow once the base is solid.”

He noted that the group is already exploring strategic adjacencies such as CO₂ production and other industrial synergies.

Tongaat Hulett Zimbabwe CEO Tendai Masawi reported that more than 860,000 tonnes of cane have been crushed since the start of the 2025 season on February 29, with estate and outgrower deliveries flowing steadily.

“Our refinery is running efficiently and servicing major industrial clients in the beverage and brewing sectors. Ethanol operations are also underway, with a target output of 29 million to 30 million litres this year,” Masawi said.

The two estates—Triangle and Hippo Valley—also generate their own electricity, with surplus power fed into the national grid.

On whether Hippo Valley Estates will remain on the Zimbabwe Stock Exchange, Moyo was cautious.

“We’ve made no internal decision regarding delisting. Triangle is fully private, but Hippo Valley remains publicly traded. Any move will depend on guidance from the local board and engagement with the ZSE. As of now, no process has been initiated.”

Addressing market speculation around possible job cuts, Moyo was emphatic:

“Earlier rationalisations were routine business adjustments—not connected to our acquisition. In fact, we see scope for expansion. With the right policies on labour, cane pricing and cost containment, this industry can grow, not shrink.”

“You don’t cut your way to prosperity. Our focus is on value creation, building capacity, and scaling for long-term success,” he added.

Moyo also confirmed that the long-stalled Kilimanjaro expansion project—aimed at boosting cane production and job creation—is now firmly back on the group’s agenda.

“The only delay was the transition in ownership. Now that we’re in control, we will re-engage stakeholders and move forward. Within the next two to four weeks, we expect to start discussions to revive the project.”

Kilimanjaro was previously stalled due to financing challenges and uncertainties over Tongaat’s future.

Vision Group’s entry aligns with the government’s Sugar Master Plan, which seeks to increase production across 25,000 hectares while promoting crop diversification into bananas, citrus, and other high-value produce.

“Our ambition is to become the anchor investor in Zimbabwe’s agri-industrial revival,” Moyo said.

“And we’re doing that by leading with credibility, securing alignment at the highest levels and investing in long-term national value.”

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