Old Mutual applies for corporate rescue of Harava ...

Old Mutual applies for corporate rescue of Harava solar project

Zim Now Writer

Old Mutual Life Assurance has applied for Harava Solar Project to be placed under business rescue in order to ensure it recovers US$1.8 million loan to the company.

This is according to papers Old Mutual filed at the High Court.

This comes as the project, which received approval from the Zimbabwe Investment Development Agency in February 2022, attracted interest from investors such as the Equatorial Guinea Sovereign Wealth Fund for an injection of 15 million in equity.

Old Mutual, in its court papers, submitted that the company be put under corporate rescue to defeat a writ execution obtained by equipment supplier Prosperous World Wide against the solar plant, that will pronounce a loss of investment by Old Mutual if acted upon.

According to Old Mutual, corporate rescue protects the solar project from the writ of execution obtained by the equipment supplier as the project needs time to complete construction and trade itself out of debts.

“Saving the project is key, given the difference it can make. The project has the capacity to generate approximately 400Wh per year which is capable of powering about 40 000 households,” Old Mutual said.