Plexus, one of Mozambique’s main cotton exploration companies that operated in Cabo Delgado, has left about 515 million meticai (7.2 million euros) in debt included in the recovery plan, according to an announcement published this Wednesday on fair.
The Cabo Delgado Court of Justice notice of April 5 appears two and a half months later in Notícias, Mozambique’s main daily newspaper, after the government had already announced in May that it was looking for investors to buy cotton fields.
The court asks “creditors not named by the debtor” to present their claims and displays a table with known debts, 95% of which are concluded under agreements with four banks: Moza Banco, BCI, Access Bank and Societe Generale.
Moza owes meticai 197 million (€2.7 million), BCI 127 million (€1.7 million), Access 110 million (€1.5 million) and Societe Generale de 58 million (€813 thousand).
In addition to banks, 3.4 million metics (about 48 thousand euros) of unpaid wages were revealed, while the rest of the debt was revealed to the tax authorities and social security.
In the document, the British company cited the damage caused by the cyclones and the aftermath of armed violence in Cabo Delgado to justify the worsening financial performance since 2016 and the cessation of operations last year.
It is estimated that around 200 workers have wages overdue and that 50,000 cotton farmers and their families in Cabo Delgado have been trying since 2022 to sell the raw materials they previously delivered to Plexus.
In addition to the statement made in May by Agriculture Minister Celso Correia that contacts are underway to seek new investors, Cabo Delgado governor Walidge Tauabo also said this month during a visit to the Montepuez area, where from the headquarters of Plexus, that efforts are being made to revitalize the sector.
One of the tools will be an open tender to identify interested companies with proven technical potential to promote cotton cultivation in the country.
Author: Portuguese
Source: CM Jornal
I am Michael Melvin, an experienced news writer with a passion for uncovering stories and bringing them to the public. I have been working in the news industry for over five years now, and my work has been published on multiple websites. As an author at 24 News Reporters, I cover world section of current events stories that are both informative and captivating to read.