The Mutapa Investment Fund (Mutapa) earned US$5,8 million in dividends from its energy and trading as well as financial services portfolios in the 15 months to December 31, 2024, it has emerged.
The dividend flows emerged from a consolidated portfolio with a gross asset value of about US$16 billion and a fair value of US$15 billion, according to the fund’s maiden audited financial report for the period under review.
The figures highlighted the early-stage nature of income generation within the fund’s portfolio, particularly in capital-intensive sectors such as energy and trading, which remains Mutapa’s largest cluster with a valuation of US$6,5 billion.
Infrastructure, including in information and communication technology (ICT) and logistics sectors, followed with assets valued at US$4,2 billion, while mineral resources were valued at US$2,4 billion.
Agriculture and industrials stood at US$1,4 billion, banking and financial services at US$156 million, and real estate at US$76 million.
According to Mutapa, its principal sources of income are dividends and management fees received from its portfolio companies, profits on existing and supplementary investment returns, and occasionally, third-party funding to support its investment opportunities across the fund.
“I am pleased to report that we have made meaningful progress on all fronts during the maiden year of effective operation, which commenced on 1st May 2024.
“The fund posted a surplus of US$3,6 million and a total comprehensive income of US$8,0 million,” Mutapa chief executive officer John Mangudya said in a statement attached to the financial report for the 15 months ended December 31, 2024.
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“Owing to improvements in corporate governance at the investee entities, some of the Fund's portfolio companies in the trading and energy and financial services clusters declared dividends amounting to US$5,8 million during the period under review.”
As the energy and trading cluster remains its largest portfolio, Mutapa is focused on the restructuring and rebundling of Zesa Holdings (Zesa) and its subsidiaries to achieve operational and financial efficiencies.
Zimbabwe has a shortfall of between 1 500 megawatts (MW) and 2 000MW of electricity.
Mutapa is working on rebundling Zesa and increasing its investments into solar energy.
Independent estimates put Zimbabwe’s solar energy generation potential at between 500 megawatts (MW) and 1 000MW.
“Key initiatives involve addressing legacy debts, establishing a debt sinking fund, and investing in renewable energy projects,” Mungudya said.
“The cluster aims to bridge the energy deficit through base load plants, solar PV projects, and transmission infrastructure.
“It also supports revenue assurance and cost efficiency through improved governance and strategic partnerships.
“The cluster portfolio value was approximately US$6,5 billion as of December 2024.”
Under Mutapa’s energy and trading cluster, the fund has Zesa, Zimbabwe Electricity and Transmission Distribution Company (Pvt) Ltd, Zimbabwe Power Company (Pvt) Ltd, and Kariba Hydro Power Company (Pvt) Ltd as subsidiaries.
The other subsidiaries are Hwange Electricity Supply Company (Pvt) Ltd, ZESA Enterprises (Pvt) Ltd, Fidelity Gold Refinery (Pvt) Ltd (FGR), Genesis Energy (Pvt) Ltd, Petrotrade (Pvt) Ltd, and Aurex Holdings.
“The energy and trading cluster plays a central role in maintaining Zimbabwe’s economic productivity, industrial competitiveness, and national infrastructure resilience,” Mutapa said.
“Key amongst this being Zesa’s commitments to total electrification, datafication and universal access as strategic response to NDS1 & 2 and Vision 2030 which prioritises energy security.
“Furthermore, the rebundling of Zesa into a vertically integrated entity remains on course with an implementation target of Q1 2026.”
With gold prices expected to soar even further this year past the current level of US$4 395,75, a year-to-date increase of about 70%, Mutapa is expected to benefit from increased deliveries to FGR as miners cash in on these prices.
FGR projects gold deliveries of 50 tonnes this year, up from 45 in 2025.
“The cluster’s priorities going forward include restoring reliable power generation, modernising national transmission and ICT infrastructure, strengthening petroleum supply resilience, and deepening value addition across minerals and energy related products,” Mutapa said.
The fund was originally established in 2014 by an Act of Parliament, the Sovereign Wealth Fund of Zimbabwe Act [Chapter 22:20] but was only fully operationalised and renamed to Mutapa on September 19, 2023.
The fund’s portfolio is organised into six clusters namely mineral resources, energy and trading, infrastructure: ICT and logistics, agriculture and industrials, banking and financial services, and real estate — with a dedicated investment team and cluster heads.
“As the principal investment arm of the government of Zimbabwe, MIF’s (Mutapa’s) mandate is to manage the government’s portfolio of commercial companies and to provide financial and strategic oversight to the portfolio in order to maximise value for the long-term benefit of Zimbabwe’s current and future generations, while supporting the country’s broader economic transformation agenda,” Mangudya said.
Mutapa’s fair value asset valuation is dominated by strategic holdings in subsidiaries worth US$14,7 billion, associates (US$80,3 million), and equity investments (US$42,7 million)
“The fund maintains a cluster-wide funding pipeline prioritising infrastructure refurbishment, capital expansion, and recapitalisation initiatives.
“Total funding requirements exceed US$10 billion, with approximately US$1 billion raised to date for portfolio companies,” Mutapa said.
“Funding sources include debt, equity, public private partnerships (PPPs), and joint ventures with development finance institutions, banks, and private investors.
“Strategic capital deployment aims to support modernisation, operational efficiency, and sustainable growth across clusters.”
The 2025 financials are expected in March.
