Rashid Yusof, CEO and MD of the SA company, says the deals are subject to approval from the countries' governments and central banks, as well as other regulatory requirements. In the case of Zimbabwe, the deal is also subject to pre-emptive rights.
"We welcome these investment opportunities. We have the utmost confidence in our future in both countries," Yusof adds.
The company already has interests in Lesotho, and the acquisition will see it secure 35% of the market.
Shell's Zimbabwean business is in a joint venture with BP (managed by BP). "While Zimbabwe's economy has declined sharply over the last decade, it still has good infrastructure which we believe will form the basis of renewed economic growth, once the current political situation is resolved," Yusof continues.
It is the SA company's intention that current employees in both countries will retain their positions once the deals are finalised.
Owned 80% by PETRONAS (Malaysia's national oil company) and 20% by SA's black-owned Worldwide Africa Investment Holdings, Engen says it is committed to growing its business in Sub-Saharan Africa. The company's recent acquisitions in Africa included interests in the Democratic Republic of Congo (December 2007) and Gabon (June 2008). Engen currently has a presence in 17 Africa countries.
