The construction company Sociedade Geral de Empreitadas, Lda (SOGEM) is being seized by Sociedade de Gestão Imobiliária, Lda (SOGITEL), part of the Visabeira Group, for a debt of 14.9 million meticais.

Through a special action conducted by the Maputo City Court (1st Commercial Section), SOGEM became insolvent for failing to honor its commitment to SOGITEL. The deal was related to the rehabilitation of two properties, which gave rise to the debt, according to the Letter from Mozambique.

SOGEM acknowledges the breach of commitment, but fails to pay the debt even after being approached to honor the agreement. The contractor claims to be in an unfavorable financial situation to do so, says the portal citing a ruling dated December 20, 2022.

"For these reasons, I grant the petition and declare SOGEM insolvent," ruled the judge, João de Almeida F. Guilherme. In addition, among other decisions, he appointed lawyer Nelson José Mutambe as insolvency administrator.

Detailed information about SOGEM is scarce, but it appears that until last December it was based in Maputo, at Avenida Kenneth Kaunda, 403.

SOGITEL (part of the Visabeira group) is positioned in the construction and infrastructure sector and has been present in Mozambique since 1993. It operates in projects and real estate developments; civil construction; the creation of infrastructures and green spaces; the rehabilitation and management of its own and other properties, as well as the purchase, sale and rental of properties.