Plant and Vehicle Hire and Engineering Services (PVHES), a State-funded plant and hire organisation, is seeking a strategic partner to inject capital into its operations as it undertakes to upgrade facilities.
PVHES, formerly Plan and Vehicle Hire Organisation (PVHO), also repairs construction and engineering equipment and operates inspection services.
PVHES chief executive officer Jomo Mkandawire said in an interview yesterday they have already approached Public Private Partnership Commission (PPPC) to help in identifying a strategic partner.
He said they are looking for a joint venture partner to inject capital into the struggling institution and possibly own 40 percent shareholding for an agreed period.
“We are looking for a strategic partner who can inject capital to be used for buying equipment and modern technology and thereafter agree to enter into a joint partnership for a period of not less than 10 years,” said Mkandawire.
He said PVHES has potential to improve the country’s road sector but it is lacking capital to sustain its activities despite having offices nationwide.
Treasury spokesperson Nations Msowoya said in an interview on Wednesday that PVHES has written them on their recapitalisation bid.
“We are positively looking at their proposal and possibilities of helping them to find money to reposition themselves. This is actually a good proposal as the move would result in a more streamlined and efficient entity,” he said.
Msowoya could not disclose the capital amount needed for PVHES to get back on its feet, but said Treasury is looking at how it can help the instituion to upgrade its machinery.
Earlier, the Public Service Reforms Commission said PVHES needs to reform as part of ongoing reforms in the transport sector.