Somaliland Factories, Mills and Mining Thread

[fox]

Min £2000 very tempting

 

[Hemaal]

Min £2000 very tempting

Very tempting indeed but just not yet! I need to know more before i put my money in it.

 

[fox]

Very tempting indeed but just not yet! I need to know more before i put my money in it.

When i get home i am going to quickly do some research on the team

 

[mrdeeni]

When i get home i am going to quickly do some research on the team

Its also how do you know if your investment is protected and if these people are trustworthy? But as a chemical engineer we need these Crowdfunded start-up companies. Its really interesting concept that insallah i will be working on.

We Somalis love Ayootu/hacbad & millions of Somalis investing in process industries will be next next evolution of rebuilding this country!

 

[Rorschach]

This sounds great. Terrible advert though. It looks like they used stock videos throughout the whole thing.

 

[Canuck]

Most of Somali entrepreneurs started like this Somali scales but you need to be extra cautious.

 

[mrdeeni]

Most of Somali entrepreneurs started like this Somali scales but you need to be extra cautious.

Yh very true just looked on the website somethings stick out ;

They are looking to sell 12,000 shares at $250 a share raising = $3 Million

As an engineer thats kinda low for what they looking to do definitely wont get the equipment they show in the video but its manageable to make with 2nd hand equipment and cheap labour ect.

2250 share already sold which Raised = $562,500
Left is 9750 Shares = $2.43 Million
With a Return of investment at 35% = 3 yrs pay back

Main issues i see with this company is the cost of share which is really high at $250
The 2nd largest agriculture company in the world Archer Daniels Midland shares cost $42.40.

2nd is the risk hence why the ROI is estimated so HIGH at 35%.

In the UK or US a ROI higher than 20% normally always means scammers/scams but I can see in a country like Somalia/Somaliland that being a good offset for taking that large of a risks.

Conclusion it seems interesting however the two main question i would ask:

1) how many shares the owners are getting
2) Timeline/develpoment plan
3) Trustworthiness of the main people
4) If all goes well only really profitable if you buy large amount of shares $20,000 - $30,000 which is risky
5) You can still buy shares at $2000 but you will get $700 a year or $58 a month after 3 years.

 

[Gilgamesh]

It's going to be a joint venture that will go by the name 'Red Sea'

The three main shareholders are going to be the government, Dahabshiil, and a Kuwaiti Company.

@waraabe @oday1kenobi @merka @Hemaal

 

[Hemaal]

Will there be an IPO for the public? We've already seen how Reer Berbera reacted the first time, how will it be different this time?

 

[merka]

Finally

 

[oday1kenobi]

Good news!

A public-private partnership seems like the best outcome for a nation like Somaliland since this sole cement factory is of national/strategic importance yet SL has limited funds to invest hence partnering up with Dahabshill and a Kuwaiti company.

By the way, what happened to Raysut/Oman's interest on the factory?

 

[merka]

Will there be an IPO for the public? We've already seen how Reer Berbera reacted the first time, how will it be different this time?

I don't think there will be an IPO.

Berbera municipal government are part owners

 

[Gilgamesh]

Will there be an IPO for the public? We've already seen how Reer Berbera reacted the first time, how will it be different this time?

No IPO but this time it's different cause last time only Dahabshill was going to be the sole owner. The
part government ownership is probably a way of reassuring them.

Nevertheless, this needs to happen by any means. Same people who oppose this would later on complain of
Ethiopian imports of cement.

 

[Hemaal]

I don't think there will be an IPO.

Berbera municipal government are part owners

Bro i don't see how this is any different than before? It would be fair to give an IPO to the Public while govt maintains the majority. This is just the same deal, except Kuwait is an additional shareholder. Why not the let the public take a piece of the pie?

 

[Gilgamesh]

Good news!

A public-private partnership seems like the best outcome for a nation like Somaliland since this sole cement factory is of national/strategic importance yet SL has limited funds to invest hence partnering up with Dahabshill and Kuwait.

By the way, what happened to Raysut/Oman's interest on the factory?

That one was different. They wanted to export cement from Oman to SL which is ridiculous now.

High tariffs should be put on any foreign imports after the factory starts up.

Buy Somaliland Made should be the motto

 

[Hemaal]

No IPO but this time it's different cause last time only Dahabshill was going to be the sole owner. The
part government ownership is probably a way of reassuring them.

Nevertheless, this needs to happen by any means. Same people who oppose this would later on complain of
Ethiopian imports of cement.

Agreed, it's a welcome development A step taken of being self reliant

 

[merka]

Berbera has large deposits of high grade gypsum. No more importing cement

Somaliland: GMT Minerals is looking to develop 'undoubtedly one of the largest' gypsum deposits in the world. Located in Berbera, Somaliland, the deposit is exposed for many miles, and extends for approximately five miles to the south of Berbera. It is between nine to 14 miles of a nearby port. The deposit is known to contain many millions of tons of good grade gypsum and anhydrite. It is thought that there are over 13Mt of greater than 90% pure gypsum and a further 9Mt of greater than 85% pure gypsum.

GMT Minerals is intending to establish a new front-end gypsum processing and handling facility near the deposit. The new front-end gypsum processing facility at Berbera will process about 2Mt/yr of gypsum and produce a homogenised, 50mm product that is suitable for pulverisation and calcination prior to use in board production.
http://www.globalgypsum.com/news/item/364-large-gypsum-deposit-to-be-developed-in-somaliland

 

[merka]

Bro i don't see how this is any different than before? It would be fair to give an IPO to the Public while govt maintains the majority. This is just the same deal, except Kuwait is an additional shareholder. Why not the let the public take a piece of the pie?

No idea. I guess this is too lucrative to hand out shares to the public. Dahabshil is gonna get stupid rich

 

[Hemaal]

@merka I would have loved to pitch in Entrepreneur in me is always lookin' for profitable businesses

 

[xisaabiye]

P3 projects are done by all nations. This is a great step forward in the right direction. If it was solely the government and not the private sector involved then taxes would increase which would put a strain on people spending (consumption). The next step to economic modernisation is bidding for contracts for future P3 projects. We should hold off on the oil/gas/minerals until we reach that stage.

Walilaahil 7amd