Rédaction Africa Links 24 with Chief Editor
Published on 2024-02-27 02:36:30
In a historic decision, shareholders of Zambia Consolidated Copper Mines-Investment Holdings (ZCCM-IH) have given the green light to the acquisition of a 51 percent stake in Mopani Copper Mines Plc by Delta Mining Limited. This approval was granted during the Shareholder’s Extraordinary General Meeting held in Lusaka on February 23rd, 2024.
As per the terms of the agreement, ZCCM-IH will retain a 49 percent shareholding in Mopani, retaining a significant presence in the company’s governance structure with three out of nine board seats. On the other hand, Delta Mining Limited, a subsidiary of International Resource Holdings, will hold the majority stake, with five board seats, while the Zambian Government will occupy one seat.
The acquisition, which is valued at up to USD 1.1 billion, represents a strategic move aimed at strengthening ZCCM-IH’s involvement in the copper mining sector and ensuring complete oversight into Mopani’s operations.
Following the Extraordinary General Meeting, ZCCM-IH Board Chairperson, Kakenenwa Muyangwa, expressed his contentment with the outcome, praising the transaction as a significant milestone that brings substantial value to ZCCM-IH, Mopani, and the Zambian populace.
Muyangwa stressed that the acquisition signifies a crucial moment for Zambia’s copper mining industry, aligning with the country’s ambitious goal of achieving three million metric tonnes of copper production per year by 2032.
Loisa Mbatha, Corporate Affairs Manager at ZCCM Investments Holdings, reasserted the corporation’s dedication to promoting the interests of all stakeholders and fostering sustainable growth within the mining sector.
The approval of the acquisition signifies a strategic step towards reinforcing Zambia’s position in the global copper market, promoting economic development, and harnessing the nation’s abundant mineral resources for the benefit of its people. As the transaction progresses, stakeholders are optimistic about positive outcomes that will contribute to Zambia’s long-term prosperity and industrial progress.
This acquisition is expected to have a significant impact on Zambia’s economy, as it strengthens the country’s presence in the global copper market. The move also aligns with Zambia’s long-term goal of increasing copper production to three million metric tonnes by 2032.
ZCCM-IH’s involvement in the acquisition demonstrates its commitment to driving growth and development within the mining sector, ultimately benefiting the Zambian people. With the support of Delta Mining Limited and the Zambian Government, Mopani Copper Mines Plc is poised to thrive under this new ownership structure.
Overall, this acquisition marks a significant milestone for Zambia’s mining industry and sets the stage for continued growth and prosperity in the years to come.
Read the original article on Lusaka Times
