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BOPEU bleed millions as investors leave

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BOPEU bleed millions as investors leave
DISMISSIVE: Marenga

Cresta Khawa Lodge take-over put on hold

Since the controversial exit of Babereki Investment PTY (LTD) Chairman, Andrew Motsamai, investors are alleged to be terminating businesses contracts with Botswana Public Employees Union (BOPEU)’s commercial wing Babereki Investments.

Information gathered by this publication is that Cresta Marakanelo Limited, a company listed under Botswana Stock Exchange Limited, has pulled out of the initial deal it had with BOPEU through Babereki Investments.

Reports are that, after buying Khawa Lodge in Gantsi as part of its objective to diversify its income, BOPEU traded the lodge with a three percent stake on Cresta Marakanelo shares.

The arrival of new faces at the labour union has rocked the boat, and Cresta decided to pulled out of the deal and have given the lodge back to BOPEU.

“They had confidence in Motsamai and since his departure they have lost confidence in working with the labour organisation.”

The developments are said to be a major setback to BOPEU as Babereki continues to bleed millions of pula.

“Already BOPEU have lost out. They had spent quite a substantial amount on refurbishing the lodge,” The Voice learnt.

Reached for a comment, BOPEU Secretary General, Tobias Marenga flatly refused to share details of the Union’s business deal with Cresta Marakanelo.

“The deal between BOPEU and Cresta is confidential,” said Marenga before adding that change of management at Cresta has delayed progress at Khawa Lodge.

“There has been change of management at Cresta and we still have to meet with them. We are going to work together but I cannot disclose how that will work,” Marenga told The Voice.

Meanwhile the Managing Director for Cresta Marakanelo, Mokwena Morulane put the blame squarely on BOPEU. He said they were disappointed by the duration it has taken the embattled union to develop the hotel.

“Although we regard BOPEU as an important partner, we’ll only go into the Khawa Lodge deal as tenants, nothing else,” said Morulane.

“If they want to buy the shares they are free to do so just like anybody,” he said.