ZCCM INVESTMENTS HOLDINGS PLC
[Incorporated in the Republic of Zambia]Company registration number: 771 Share Code: ZCCM-IHISIN: ZM0000000037[
MARKET UPDATE ON THE INTERNALRESTRUCTURING AND REPOSITIONING STRATEGYANDFURTHER CAUTIONARY ANNOUNCEMENT
Further to the cautionary announcement issued on 12 December 2012, shareholders and the
market areadvised of the following further and on - going developments relating to the Company and are advisedto continue exercising caution when dealing in ZCCM-IH shares.
ZCCM Investments Holdings PLC (
) is an investments holdings company with diversified interestsin metals, mining, power and other sectors of the Zambian economy. The Company has a primary listingon the Lusaka Stock Exchange
) in Zambia and a currently non active secondary listing on theLondon Stock Exchange and some shares are traded on the Euronext stock exchange in Paris.ZCCM-IH is the privatized entity formerly known as Zambia Consolidated Copper Mines Limited
).In 2000 ZCCM was privatized by the Government of the Republic of Zambia
ZCCM-IH emergedfrom the privatization of ZCCM as an investments holdings company with equity stakes of between 10 to20.6 % in the new companies that were formed from the unbundling of ZCCM.The focus of ZCCM-IH today, and going forward, is to achieve full operational sustainability and realize theoriginal objectives which shareholders sought to achieve through the privatization of ZCCM. Theseobjectives include the following:
Mobilise substantial amounts of committed new capital for new operations;
Ensure that ZCCM-IH realises value from its assets and retains a significant minority interest inprincipal mining operations in Zambia;
Extinguish ZCCM-IH liabilities, including long standing indebtedness to the GRZ;
Diversify the investment portfolio; and
Promote Zambian participation in the ownership of mining assets.
Shareholding structure and status on the stock exchange
As shown on Table 1 below, the GRZ currently holds 87.6 % shareholding in ZCCM-IH made up of 60.3%
designated as "A" shares and 27.3 % designated as “B"
shares. The balance of the shareholding of 12.4 % isdesignated
as “B” shares and
held by minority shareholders (“Minorities "). GRZ acquired its 27.3
% shareholding of
shares from Zambia Copper Investment Holdings Limited (“ZCI”) under the
privatization of ZCCM in 2000. ZCI was controlled by Anglo American Corporation (
shares (i.e. the 12.4 % shares held by the Minorities and the 27.3 % held by GRZ) were listed onthe LuSE in 1995. The
shares held by GRZ are not listed on any stock exchange.A portion of the
shares held by the Minorities are deposited on the Euronext (Paris Bourse) andpresently trade on that stock exchange, on a non formalized basis.