By: Nghinomenwa-vali Erastus
Namcor’s board of directors and management has admitted that the company’s weak risk management and governance loopholes were to blame for its inability to pay creditors.
Acting Managing Director Shiwana Ndeunyema and Board Chairperson Jennifer Comalie briefed the media on the company’s recent challenges yesterday.
At that event, the two promised that they now have a commercially viable plan to overcome the temporary challenges.
One of their plans is to ask the government – Namcor’s main shareholder – for a bailout.
As of March 31, 2023, Namcor’s unaudited financial statements reported an unprecedented net loss of N$700 million. The loss resulted in a significant working capital deficit, leading to cash flow challenges.
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