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Leonard Ncube, [email protected]

ZIMBABWE’S leading hospitality group, African Sun Limited (ASL), has budgeted US$25 million for refurbishment of its properties countrywide, as part of its 10-year strategic plan that will see additional investment being injected towards new projects.

With 10 hotels across the country, ASL became the first hospitality group to list on the Victoria Falls Stock Exchange (VFEX) last month as the group seeks to widen its capital base to finance equity and capital projects, among other things.

Money – Image taken from Pixabay

Speaking in Victoria Falls recently, group management said refurbishment work had already started and in the next three years there will be a new look ASL portfolio.

ASL chief executive, Mr Peter Saungweme, said the group has lined up a number of projects in line with its growth strategy.

“There are big plans that we have, not only for refurbishment but for expansion. Beyond this property (Elephant Hills Resort) where we will consider what it means to bring in an international brand, we have a number of new buildings and as a nation you will start to see in the next three or so years African Sun going all out in terms of new buildings in a number of locations,” he said.

The group is also considering constructing bigger conference facilities to leverage on Meetings Incentives Conferences and Exhibitions (MICE) business.

Mr Saungweme said refurbishments alone will cost an estimated US$25 million.

“In terms of our strategy over the next 10 years, it is very clear. Right now we own 10 hotels across the country and you would agree that most of them need investment,” he said.

“You will see in the next three or four years predominantly African Sun will be focused on bringing up this product to international standards right across all ASL you are going to see massive investment in terms of refurbishing and repositioning of the current product before we start transitioning a much more aggressive process towards expansion.

Roughly, all refurbishments are in excess of US$25 million and new buildings are not included there,” he added.

Group board chair, Dr Emmanuel Fundira, said potential and demand in terms of MICE business is overwhelming hence the group is looking at investments.

He said the group was trying to raise as much capital as possible to give value to its shareholders and listing on the VFEX was one way of raising capital for projects. — @ncubeleon