AS diversification and privatisation of the sugar industry continue, the Special Purpose Unit (SPU) of the National Industrial and Commercial Investments Limited is hoping to nail down its first investor by February next year.

Speaking to the Guyana Chronicle on Tuesday, SPU Head Colwin Health-London, said most proposals and enquiries have been into sugar -related activities, citing ethanol, bulk sugar and electricity.

The SPU took control of the Skeldon, Rose Hall, Enmore and Wales estates when government decided to close operations early this year. Since January 2018, the unit was tasked with having the estates valuated and ready for sale. “The prospective investors are the best to do studies… over the past year we had different investors sending teams which analysed books for estates, the infrastructure and the factories…they [investors] think and the SPU thinks doing sugar in different forms can be profitable,” said Heath-London, adding that the final decision is up to the investors.

Over the past month, the SPU received proposals from 16 prospective purchasers and they expect to have at least 35 firm and fixed proposals by the end of October, when the prospect period will end. “Initially, in the first round there were approximately 70 investors…the second round will be open until the end of this month, so let’s see what happens and what the numbers will be at the end of the month,” Heath-London had said.
In addition to the investors from China and Saudi Arabia, there were expressions of interest from investors in India, South Africa, Australia and Latin America.

“We hope that by February of next year we should have our first investor/ developer running one of the estates and all the other estates hopefully in the next near, distant future will be operational in some form,” he said. Heath-London added: “After the prospect period, the SPU and Price Water House will review the proposals with a view of giving cabinet recommendations for prospective purchasers or investors.”

Although the investors will decide what to do with the estates, some of the lands will be diversified. Heath-London explained that the Wales Estate for instance would be diversified to accommodate the cultivation of coconuts, orchards, bananas and plantains. Until the estates are officially sold, the SPU’s mandate would be to keep the facilities as a “going concern.”

As part of that mandate, the unit has been doing maintenance and rehabilitative work at the estates. One of the most recent projects was the rehabilitation of the Estate Lounge at the Guyana Sugar Corporation (GuySuCo)’s LBI office. Manager of the facility, Calvin Boxhill, said the facility will be open to senior and junior staff of GuySuCo and the SPU, as well as for staff of various ministries and private sector organisations. The newly refurbished recreational facility has a bar, tennis court, a pool and other attractions.