Nyasa Manufacturing Company (NMC) has signed the memorandum of agreement (MoA) on the takeover of Malawi’s most prestigious football team, Nyasa Big Bullets , after they paid a nominal value of one kwacha (K1.)
The club’s former chairperson Noel Lipipa indicated during the handover ceremony that a cigarette manufacturing company is taking on the club’s debts of K185 million.
Lipipa described the K1 as “nominal value” which is quoted to initiate a negotiation or transactions.
It was defended by other officials who said it is not new for club take over, citing Ken Bates who bought Chelsea FC of England for £1 while inheriting debts of £1.5m in 1982 and 20 years later sold it to Russian billionaire Roman Abramovich in a deal worth $233m.
Lipipa said a 12-member committee led by former Bullets board of trustees’ chairperson, James Busile, has been tasked with ensuring Nyasa adhere to the conditions of the takeover agreement.
The conditions that NMC will take full control of the club for the first five years, after which they will list it on Malawi Stock Exchange (MSE) and own 70 percent shares while the remaining 30 percent will be offered to any prospective investor.
It also stipulates that NMC should start a stadium project, own club houses in the country’s three regions, invest in merchandise and settle the club’s debt amounting to K184 million within three years.
NMC will also buy vehicles for all Bullets players and members of the technical panel within three years, according to the MoA.
Nyasa Bullets director Dimitri Kalaitzis said they were “delighted to agree this deal to acquire what is already the top club in Malawi.”
The company said they have the “resources and ambition” to achieve even more given the huge potential of the great club.
Nyasa Bullets command the biggest fan base spread throughout the tiny and soccer-mad southern African nation.
Most of the 16 teams in Malawi’s poorly-run amateur super league are sponsored by the Army, Police and government. The rest are owned by private clubs.
Football Association of Malawi (FAM) marketing director Limbani Matola and Be Forward Wanderers general secretary Mike Butao witnessed the MoA signing and described the route Bullets has taken as a path every Super League club should follow.Follow and Subscribe Nyasa TV :