Delta Mines Ltd., has concluded the acquisition of 51% shareholding in Mopani Copper Mines (MCM) translating into a US$1.1 billion investment into the mine.
In a statement, ZCCM-IH Corporate Affairs Manager Loisa Mbatha said ZCCM-IH will retain 49% shares in Mopani, with 3 out of 9 board seats while Delta will have 5 and government 1 seat.
She said the approval was made during a Shareholder’s Extraordinary General Meeting (EGM) held in Lusaka last week.
“ZCCM Investments Holdings Plc (ZCCM-IH) shareholders have unanimously approved the Mopani Copper Mines Plc transaction where Delta Mining Limited, a subsidiary of International Resource Holdings (IRH), has agreed to acquire a 51% shareholding in Mopani for a total investment of up to US$1.1 billion,” she said.
ZCCM-IH Board Chairperson Kakenenwa Muyangwa said the transaction is a landmark achievement that delivers significant value to ZCCM-IH, Mopani, and the Zambian people.
“It’s pleasing to note that IRH has committed to retain Zambian workers, including the management team, who will be complimented by new skills and expertise from Delta to facilitate the expansion of MCM production to 200, 000 tonnes per annum”, said Mr Muyangwa.
ZCCM-IH Board Director Phillippe Taussac who represents minority shareholders said that “the extinguishing of the Mopani US$1.5 billion debt that ZCCM-IH had guaranteed, will certainly lead to significantly improved financial performance for all ZCCM-IH’s shareholders.
