GOVERNMENT has reduced its shareholding in ZCCM-IH from 87.5 percent to 60.3 percent in compliance with Lusaka Stock Exchange (LuSE) benchmark of minimum public float of 25 percent of shares, says Finance Minister Alexander Chikwanda
Mr Chikwanda said the exercise was premised on a series of objectives relating to widening participation of citizens in economic development.
Speaking at the official launch of the GRZ share sale down, Mr Chikwanda said that the broad distribution of shares would increase liquidity of ZCCM-IH shares on LuSE.
Mr Chikwanda said the move was a significant step in the evolution of PF Government’s development agenda to create higher levels of wealth for citizens.
He explained that creating wealth for citizens was one of the credible ways of rolling back insidious and unacceptable frontiers of poverty which were a major hindrance to development.
“In this phase, 27,961,237 shares are being sold to the Zambian public for a reasonable period of two months once the offer is open. A further one month will be allowed for other investors to participate,” he said.
Mr Chikwanda said Government was doing everything possible to strengthen the balance sheet of many sizeable State-owned companies so that the public could acquire shares in those outfits.
“This will provide a salutary route of capitalization of these companies and avoid overstretching the already squeezed taxpayers,” he said
Mr Chikwanda appealed to Zambians to meaningfully participate in the growth of the mining sector through buying shares in ZCCM-IH.
Meanwhile, ZCCM-IH chief executive officer Dr Pius Kasolo said the launch of GRZ share sale down would enable the Zambian public to invest in shares in the company.
Dr Kasolo said ZCCM–IH was interested in energy, real estate, farming and banking.
“ZCCM-IH’s portfolio includes significant shareholding Zambian mining industry, in addition it has interest in energy, real estate, farming and banking. The majority of shareholding is held by the Zambian Government while the rest are held by private individuals and institutions,” he said.