Mesfin Rebrands to Overcome Wartime Shadow

Oct 5 , 2025. By NAHOM AYELE ( FORTUNE STAFF WRITER )

Mesfin Industrial Engineering, once a flagship company in the manufacturing sector, has announced a corporate rebrand, unveiling its new identity as Mesfin Metals & Engineering Plc. The launch, which took place in Meqelle on October 2, 2025, marks a deliberate departure from a perception caused by a two-year civil war. The company’s transformation, steered by local consultancy Glocal Consulting Group, cost nearly three million Birr and spanned almost a year.

In Meqelle, a name long associated with industrial grit and regional pride is undergoing a strategic metamorphosis.

On October 2, 2025, Mesfin Industrial Engineering Plc shed its old skin, emerging as "Mesfin Metals & Engineering Plc," also known as Mesfin, in a rebranding campaign that was as much about optics as it was about survival.

The name change, designed by Glocal Consulting Group, signals an attempt to dissociate the company from its wartime connotations. Its executives seek to reposition Mesfin as a nationally recognised industrial player, distancing itself from what they described as "unfair associations with wartime activities" during the two-year civil war. These perceptions, executives say, not only clouded the company’s public image but threatened its future ability to compete for contracts, especially large-scale infrastructure and industrial projects.

For Tessema Gidey (Eng.), managing director of the company, the rebranding is tactical and existential.

“We’re victims of wrong perception,” he said, referring to the shadow cast by allegations made against EFFORT-affiliated companies. Mesfin’s name had become entangled in narratives of "war finance, money laundering, and political militancy", accusations that froze its accounts, threatened its market competitiveness, and stained its reputation. The rebranding, according to company officials, aspires to rectify “wrong perceptions” and signal a fresh chapter for the company as it seeks to reestablish itself in the manufacturing sector.

According to Yikunoamlak Tesfay, founder and CEO, the goal was to redefine Mesfin’s identity visually and strategically.

“We wanted to evolve Mesfin from an industrial brand tied to its past into a modern and nationally recognised enterprise,” he told Fortune. "The rebranding is meant to reaffirm Mesfin’s identity as a professional and non-political industrial enterprise.”

The civil war, which erupted after months of political tension, left widespread destruction in its wake, particularly in the Tigray Regional State. Factories, infrastructure, and businesses across the region suffered, and Mesfin was no exception. A post-war assessment conducted by the company revealed that Mesfin had incurred losses exceeding one billion Birr due to the war's impact.

During the war years, federal authorities had frozen the bank accounts of all firms affiliated with EFFORT, including Mesfin, Sur Construction, Guna Trading, Trans Ethiopia, Selam Public Transport, Mega Printing House, Almeda Textile Factory, and Mesobo Cement Factory. They alleged that these companies were involved in collaboration with groups seeking to "overthrow the constitutional order, inciting ethnic violence, and establishing unlawful organisations." They were also accused of "laundering money derived from corruption or criminal activities."

The fallouts from these allegations were consequential. The Federal Attorney General appointed a seven-member interim trustee board to oversee EFFORT-owned companies. Many on the board had previously managed the firms. Yet, this interim arrangement proved fleeting. Within months, the Federal High Court dissolved the board, stating concerns that “the assets of the companies were not being properly managed,” and imposed a temporary freeze on all assets under investigation.

The Court then appointed Commercial Nominees Plc, a subsidiary company of the state-owned Commercial Bank of Ethiopia (CBE), to manage 18 firms under EFFORT. This setup continued until the end of the war in November 2022, following a deal signed between the federal government and the TPLF in Pretoria, South Africa. High court judges lifted the asset freeze on 21 companies and ended the management role of Commercial Nominees Plc.

Since then, EFFORT-owned firms, including Mesfin, have been overseen by an interim regional administration of Tigray, now led by Tadesse Werede (Maj. Gen.), with the task of restoring operations and reputation.

Rebranding has not come cheaply for Mesfin. The initiative, which involved a new name and logo, cost nearly three million Birr, according to Tessema. The sum does not include additional expenses to update all company signage and branding across its facilities. Tessema disclosed that the rebranding responds not only to post-war misconceptions but also to the company’s evolution.

Mesfin Industrial was one of the five companies initially incorporated in 1992 as the founding firms of EFFORT. Upon incorporation, Mesfin, named in honour of a TPLF fighter killed during the war in the late 1970s, had a capital of 100 million Br, registered under founding shareholders, such as Yalem Seyoum, Kahsay Weldemichael, Yemane Tewelde, Tadesse Debelu, and Medhin Kiros, all former fighters. Three years later, a major restructuring of these companies saw Mesfin's shareholders transferring 96pc of their shares to the EFFORT, while the remaining shares were redistributed among Berhan Building Construction, Messebo S.C. and Meskerem Investment Plc.

“Mesfin Industrial was once best known for vehicle assembly, particularly trucks, and producing automotive components,” Tessema told Fortune. “Today, the company has evolved into a corporate-level manufacturer with six industrial divisions and a much broader production scope.”

The company’s expansion now includes industrial construction, steel structural works, pre-engineered buildings, industrial platforms, and steel bridges. Mesfin has launched an energy sector division to manufacture components for cement and sugar plants as well as hydropower projects. It also designs and installs electromechanical systems for industrial applications, engages in vehicle assembly, and conducts metal fabrication, marking a shift from its prior identity as a manufacturing-focused firm.

Nonetheless, the scars of conflict are visible. Employment at Mesfin dropped from 1,850 to around 1,500 due to war-related disruptions. Although the firm has filed for compensation for war-inflicted losses, there has been no official response.

Tessema remains upbeat about Mesfin’s future. He believes the company could play a key role in the reconstruction of the war-battered regional state.

“Even with our determination and expertise, we can't achieve our plans without support from the federal government and the regional administration,” he told Fortune.

Mesfin, which previously participated in major projects such as the Tekeze Hydro Power Project and the Tana Beles Hydropower Project, seeks to be a contender for national infrastructure and industrial undertakings.

According to Yikunoamlak, unlike the old, the new brand is now legally registered and adaptable for all uses, from physical signage to digital platforms. The process took nearly a year. The logo’s red-inspired colour palette was selected to reflect "struggle, sacrifice, and resilience," representing the company’s history and its ambitions for renewal.

“The name Mesfin carries emotional weight," he said. "It represents strength and dedication. The new identity honours the company’s roots while signalling a new chapter of professionalism and growth.”

Bahre Gebresilassie, general manager of Plant Engineering & Construction Management, leads one of Mesfin’s six divisions. His team specialises in industrial construction projects, including steel structural work and pre-engineered buildings. According to him, employees are motivated and the company is regaining momentum.

“After everything we went through, it feels good to see the company coming back to life,” he said.

Despite the losses, Bahre sees that Mesfin now has a capable workforce and strong production capacity. The company is preparing to manufacture power-related products and assemble a wide range of vehicles, from bicycles to heavy transport equipment.

“We’ve learned resilience, and that gives us hope that we can achieve even greater things than before,” he said.

Experts who observe a broader trend of institutional rebranding and repositioning after reputational or structural challenges say that rebranding requires finesse. A brand consultant, Shewandagne Tessema pointed out recent rebranding efforts by local banks as a manifestation of the fine line between renewal and alienating a legacy.

“Modest changes help preserve legacy and customer base,” he said, characterising Mesfin’s move as “measured and sensible.” He cautioned, however, that some public misperceptions may persist, and urged for strong public relations, visible corporate social responsibility, and consistent performance to build trust.

“Success depends on how Mesfin positions itself in the market,” Shewandagne said. “Rebranding gives a fresh opportunity to redefine communication with clients, partners, and the public. Building recognition and trust requires clear messaging, visible impact, and a long-term strategy.”

PUBLISHED ON Oct 05,2025 [ VOL 26 , NO 1327]