Mnangagwa takes over Jaggers

HARARE – Defence Minister Emerson Mnangagwa has taken over one of the largest wholesalers in the country, Jaggers.\r\n

Senior Zanu (PF) sources say Mnangagwa has bought Jaggers Wholesalers and Trador. His son, Tongai, is fronting the Zanu (PF) tycoon’s latest acquisition.  The company closed its doors in January after it slid into bankruptcy, pushing thousands into unemployment. It had gone downhill since April last year when Zanu (PF) stalwart, Chinhoyi farmer Cecil Muderede, acquired it from Metcash Africa of South Africa. The source said workers had approached Mnangagwa for help in saving their jobs.

\r\n

The company has branches in Harare, Chipinge, Chitungwiza, Graniteside, Mutoko, Filabusi, Belmont (Bulawayo), as well as at military establishments ZNA Battlefields, Four Brigade, KG6, and Two Brigade in Mutare. The source said the wholesaler would open its doors again before the end of June.

\r\n

Tongai Mnangagwa confirmed the acquisition and promised to grant an interview. He later backtracked and said he needed to consult his fellow directors who, he said, wanted the whole thing kept under wraps for the time being.

\r\n

The Zanu (PF) strongman, who is in the Mugabe succession race with Vice President Joice Mujuru, is making his first forays into retail.
Until now, he has been largely involved in gold mining and the diamond trade. He has also been linked to diamond leakages in Chiadzwa, where one of his most trusted lieutenants, Brig Gen Douglas Nyikayaramba, is in charge of the lucrative fields that have dangerously strengthened Mnangagwa’s financial hand.

\r\n

Ngwena (The crocodile), as he is known, is considered to be one of the most powerful figures in Zanu (PF). He is head of the Joint Operations Command and was Zanu (PF) Secretary of Administration from July 2000 to December 2004. He has been its Secretary for Legal Affairs since December 2004.
He was the head of the CIO at the time of the Matebeleland massacres. The CIO has been responsible for numerous abductions and murders of Zimbabweans over the years.

\r\n

The source Mnangagwa planned to amortise the Jaggers debt with CBZ and the Libya Arab Foreign Bank. No one was willing to extend financing to Jaggers under Muderede’s leadership, a source said.

\r\n

“Ngwena is pouring money into that enterprise and this is a political coup for him,” said our source.

\r\n

Numerous small and midsized manufacturing companies taken over by local businessman through the indigenisation laws are on the verge of failure because they cannot sustain their sales in the midst of a deep recession without credit.

\r\n

Zimbabwe’s government published regulations earlier last year forcing foreign-owned firms, including mines and banks, to transfer a 51 percent stake to black Zimbabweans, a move that divided the power-sharing government and spooked investors.

\r\n

Business analysts say the beneficiaries of the empowerment revolution have snapped up shareholding in companies without taking a due diligence, while others have simply run the enterprises to the ground through sheer greed and incompetence.

\r\n