By KALONDE NYATI
ZAMBIAN private equity investor, Kukula Capital has given K5 million to a Solwezi-based company for expansion.
Kukula gave Bresmar Building Material (BBM) Limited the finances to enable the Solwezi firm expand heavy-duty equipment hire and supply of aggregates and cement.
The capital investment will enable Bresmar, which was established last year through Kukula Seed Fund (KSF), to expand its fleet of heavy-duty equipment to support the construction industry, which has been boosted by the increasing mining activity in North-western Province.
Kukula Capital partner Jito Kayumba said the development was expected to create over 100 jobs.
Mr Kayumba also said there was need to support local enterprises to enable them exploit the business opportunities from North-westernâ€™s booming mining industry.
â€œKSF is an investment company that focuses on the development of early stage businesses in Solwezi. The expansion capital will ensure BBMâ€™s growthâ€¦[and] enable BBM to further expand its fleet of tipper trucks and other heavy-duty equipment,â€ he said in a statement issued in Lusaka recently.
Mr Kayumba said the increasing demand for construction materials in Solwezi was expected to boost the growth of enterprises such as BBM.
He said Kukula Capital was committed to building the capacity of local entrepreneurs, a development that will result in job creation for the local people.
Bresmar founder Brenda Kunda said the company was expected to scale up its activities to support the growing mining and construction activities in the province.
Kukula Capital managing partner Tue Nyboe Andersen said Kukula Capital could not ignore the enormous potential in North-western Province as there were numerous opportunities to create value within the multi-million dollar value chain of the mining industry in the area.
â€œWe see strong synergies of having a locally-based investment company that grows start-ups to the size that attracts larger investors,â€ he said.
By KALONDE NYATI