By MAIMBOLWA MULIKELELA –

MORE than 15 million Government’s shares in ZCCM Investment Holding (IH) were on Tuesday offered to National Pension Scheme Authority (NAPSA) through the Lusaka Stock Exchange (LuSE).
This marks the beginning of the Government’s process of reducing its shareholding in ZCCM Investment Holdings by selling down 27.5 per cent of its shares in the company, to empower Zambians and Zambian firms economically.
The Government will sell 27.5 per cent out of its 87.5 per cent shares in ZCCM-IH to the
Zambian citizens as a way of entrenching economic independence, according to the 2015 national budget.
NAPSA director of investment, David Chewe was yesterday quoted by Bloomberg as having confirmed the authority’s acquisition of 15,850,631 shares in ZCCM IH.
Separately, LuSE chief executive officer, Brian Tembo, said that the Government would offload a total of 43,811,868 shares, representing 27.5 per cent, in ZCCM-IH to the Zambians.
In compliance with the listing requirement, the Government would reduce its shareholding in the firm to 60 per cent from the current 87.5 per cent.
The listing requirement is that no single shareholder should control more than 75 per cent of the equity in any company.
Mr Tembo told the Times of Zambia that on Tuesday, the Government offered 15,850,631 shares in ZCCM-IH to the buyer, whom he did not want to name, as part of its plan to reduce the shareholding in the company.
According to the LuSE daily market commentary for the day, tranche one of the Government’s sell-down of 15,850,631 shares out of its total 43,811,868 ‘B’ shares in ZCCM-IH transacted in one trade.
It resulted in a turnover of K570,622,716.
“The remaining balance of 27,961,237 shares will be offered to Zambian citizens and other eligible Zambian institutions in the next tranche of the Government sell-down,” the market commentary indicates.
The government decision followed a debt settlement agreement between the Government and ZCCM-IH signed on March 25 2014 in which ZCCM-IH’s net indebtedness of K1,829,298,173.06 to the government was converted into equity.
That satisfied the issuance and subscription for the 87.5 per cent of the new rights offer shares by the Government.
ZCCM-HI’s total shares are about 160.8 million and the 27.5 per cent which the government intends to offload to the public through LuSE translates into more than 43 million shares.
The ZCCM-IH holds 100 per cent shares in Ndola Lime Company, 35 per cent in Maamba Collieries, Konkola Copper Mines 20.6 per cent, 20 per cent Copperbelt Energy Corporation and Kansanshi Mining 20 per cent.
It has 20 per cent in Lubambe Copper Mines, another 20 per cent in CNMC Luanshya Copper Mines, 15 per cent in NFC Africa Mining, 15 per cent in Chibuluma Mines, 10 per cent in Chambishi Metals and 10 per cent in Mopani Copper mines.