NOMSA NKANA, Lusaka
AN AMERICAN firm has signed a memorandum of understanding (MoU) worth US$12.6 million with a local company, Lombesun Automotive Equipment Limited to facilitate the importation of industrial equipment into the country.
Nationwide Equipment Company (NWE), a branch of United States America (USA)- based company Nationwide Group, which is one of the world’s leading suppliers of both new and used agriculture and other heavy equipment, will help facilitate the equipment to Lombesun Automotive Equipment Limited’s clients.
NWE company manager Freddie Nkhumbula said the financing will be under a private placement lending facilitator, Nationwide Finance, which provides funding to clients to implement projects in the various sectors of the economy.
Speaking during the launch of the Zambia office on Friday, Mr Nkhumbula said the presence of Nationwide Finance in Zambia presents a good opportunity for Government and the private sector to undertake projects that will spur industrialisation.
“The process of funding is coordinated through local banking institutions as Nationwide Finance is not a commercial lending bank. We have since introduced our products and services to local banks as they will be providing various business instruments to clients,” he said.
He said since inception in 2008, NWE has funded strategic asset acquisitions and projects across Africa, raising over US$1.3 billion with Zambia benefiting about US$17.6 million [Lombesun benefited US$12.6 million].
And Lombesun Group of Companies chief executive officer Sunday Lombe said in view of the MoU, the company has signed a five- year working agreement with Zambia State Insurance Corporation-General Insurance (ZSIC-IG) for leveraging of the risks associated with any business transaction.