AHL Group formerly known as Auction Holdings Limited is in deep financial trouble which has forced one of the local banks to put on sale two of its three Auction Floors for sale at almost K3 billion.
Nyasa Times can reveal that AHL Group is failing to come out of a K55 billion financial loss recorded over two years ago but was suppressed by senior management to paint a picture that all is rosy at the tobacco selling firm.
But FDH Bank, on Friday flighted a full page colour advert in The Nation newspaper calling for interested individuals and organizations to buy by tender the Mzuzu auction floors, property title number Lupaso 4/13 situated off Mzuzu – Karonga road at the price of K1.6 billion.
The property according to the advert consists of an auction floor and office block comprising of five offices which includes a Reception, Kitchen, water Closest and a Verandah.
“The property also has a cafeteria, a chapel, carports, a dinning shade and gate houses. Cash offers in excess of K1, 600,000,000.00 (One billion, six hundred million kwacha) are invited,” reads the advert in part.
The same advert also calls for offers for another commercial property at Kanyundo Village near Chinkhoma Trading Centre in Kasungu at K1,250,000,000.00 (One billion, two hundred fifty million kwacha).
Insiders said all is not well at AHL Group which is laterally failing to come out of the financial mess it created two years ago when it posted one of the huge losses in the history of the company amounting to K55 billion.
“The sad thing is that those who mismanaged the company are still running it now and the selling of these properties is the start of bad things to come. This company will collapse,” said a source.
AHL has been in existence since 1938 and renowned for its contribution to tobacco marketing business over the years.