Summary of Proposed Investment
Project Number
7273
Company Name
Trinidad Industries (Pty) Ltd.
Date SPI Disclosed
Feb 22, 1996
Country
Zimbabwe
Industry
Manufacturing
Status
Completed
Sector
Paint and Adhesives
Department
Regional Industry - MAS Africa
Environmental Category
B - Limited
Previous Events
Approved : Jun 4, 1996
Signed : Jul 1, 1996
Invested : Oct 8, 1996
Project Description
Summary Of Project Information (SPI)
| Project Name | Zimbabwe-Trinidad Industries (1996) (Private) Limited |
| Region | Sub-Saharan Africa |
| Sector |
Projected Board DateMarch 29, 1996
Company NameTrinidad Industries (1996) (Private) Limited
Technical Partner and/or Major Shareholders
The major shareholders are Zimbabwean institutions including Old Mutual (31.5%), Southhampton Insurance (20%) and others (20.7%). IFC is asked to subscribe to 22.2% of the shares. The existing top management team will hold 5.6%.
Project Cost Including proposed IFC investment
US$6.463 million total project cost: IFC loan of US$845,000 and equity investment of US$690,000 proposed.
Location of project and Description of site
Msasa light industrial area on the outskirts of Harare and Mutare, eastern Zimbabwe. These two sites are company-owned premises.
Description of Company and Purpose of Project
Trinidad is a long-established company in Harare that specialises in the production of industrial and household adhesives; roofing felt and sealants; bitumen roofing and waterproofing compounds; plastic mouldings; and castor-oil based polyurethane systems. The project consists of (a) the buyout of the assets by the management team and institutional investors and (b) production of a urea-formaldehyde (u.f.) liquid resin. The u.f. would be sold to timber processors and chipboard manufacturers in Zimbabwe and the region. Veneer and chipboard production is a heat curing process that needs special property glues. Trinidad is already supplying these industries with PVA glues for laminiation and finger-jointing.
IFC will help to finance the transfer of ownership from a foreign owned group to a local investment syndicate under Zimbabwean management. The new owners are expected to grow the business and further broaden the ownership of the company.
Environmental Category and Issues
This is a category B project according to IFC’s environmental review procedure; principal issues include air emissions, liquid effluents, employee health and safety, phase-out of the use of asbestos, plant layout and general housekeeping, and site contamination from present and past activities. Occupational health and safety issues include fire prevention and emergency response, and employee exposure to noise, dust and hazardous materials. An environmental audit has recently been completed under IFC supervision. The audit report will provide the basis for detailed recommendations on mitigation measures to be stipulated in an environmental management plan.
The is from the Public Information Center.
| Host country location of environmental documents | Company offices at 7 George Avenue, Amby, Harare, Zimbabwe |
Date SPI sent to PIC February 22, 1996
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
Sponsor / Cost / Location
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