Find us on Google+

Sunday, 6 October 2013

ZCCM-IH Market Announcement

The latest ZCCM - Investment Holdings (ZCCM-IH) as released to the market on 4th October 2012. It proposes a rights offer as part of an effort to liquidate debt owed to the Government of the Republic of Zambia following the ZCCM sell off during the privatisation era. 

Chola Mukanga | Economist
Copyright © Zambian Economist 2013

1 comment:

  1. to sum up : Zambia has a budget overrun, the PF govt wants to recover its ZCCM-IH $ 370 million debt at whatever cost.

    The real cause of the negative balance sheet is that the company's assets are massively undervalued at year 1999/2000 cost values, the debt is only a pretext for going ahead with this rights issue.

    Indeed the rights issue is not necessary because ZCCM-IH could recover $1 billion ($570 million kept by First Quantum Mineral, $300 million misappropriated by Mopani/Glencore, $100 million swindled, etc)

    The ZCCM-IH board makes every effort to discourage and fear shareholders participating in this debt for equity conversion( register of shareholders forged , promises broken,...). The executive chairman Wila Mung'Omba and its board absolutely want the seat for the 8th director representing the minority shareholders to remain empty in order that their representative cannot poke his nose into this dirty trick.

    Moreover the Board misleads the historical shareholders and the financial markets in order to justify a rights issue that will benefit only new shareholders.

    Who will benefit from this scam ?

    The current minority Shareholders will make every effort to derail this process !!


All contributors should follow the basic principles of a productive dialogue: communicate their perspective, ask, comment, respond,and share information and knowledge, but do all this with a positive approach.

This is a friendly website. However, if you feel compelled to comment 'anonymously', you are strongly encouraged to state your location / adopt a unique nick name so that other commentators/readers do not confuse your comments with other individuals also commenting anonymously.