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I've just done a regular search for news as it is very quiet here! CDC have changed their name to British International Investment which should avoid confusion with the similar named Zambian development company.
Most interesting was the reported buy-in by the Rudland family from Zimbabwe. The CDC investment in Zambeef always looked to me like a vehicle to springboard into Zimbabwe at the right time. Does anyone have any other hints of development that way??
Good news about the debt.
Good news that there is now solid government.
Good news for copper prices.
A nice steady climb should now be possible, maybe along with a nominal small dividend maybe?
I want to eat a juicy steak before there is a "moo too" movement!!!
Big news, thanks for sharing. That will be critical in reducing Zambeef's external debt
This support appears a significant indicator of close engagement with govt. Zambeef would appear to have secured 2.2% of the total support package (possibly a higher % if the full package was not all disbursed).https://dailynationzambia.com/2021/11/zambeef-gets-a-stake-of-k10bn-stimulus-package/
if you are referring to other poster, he hasn't understood that CDC is an aid organisation (albeit one that operates quasi-commercially)
I don’t understand your point.
CDC is an investor in Zambeef. A very large amount is on the line. They are also very conservative when it comes to taking any E&S risks. I think it means investors can take a lot of comfort.
CDC is wholly owned by UK Government
It has no cash constraints and isn't a profit maximiser
CDC does know Zambia (better than any investor), and esp agriculture...and esp many of the assets ZAM owns/manages (after all CDC used to own/manage them for decades lol)
I followed your link and took a look at CDC corporate structure having read the piece you highlighted .Their Operations Team lists the following roles all involved in external communications: Head of UK Media, Director of Global Affairs, Head of Origination Marketing and PR, Director of Communications, Events and conferences Lead and last but not least Head of External Communications.
This seems somewhat heavy on overhead?
https://www.cdcgroup.com/en/our-impact/investment/zambeef-products-plc/
From CDC website. This is a long term development financial institution that will have done deep due diligence before investing its USD 65 million which is more than double the total mkt cap of the company.
I’m new to the thread but have done some research.
Googled within Ft.com website. There was a few reports in 2011 ten years ago. They then issued 52.5 million shares at GBP 38 p to raise GBP 20 million. A lot of water under the bridge since then but in CDC it has a good long term supportive shareholder I believe. Lots of ++ DD for them to invest. It’s hard to see why it’s so illiquid and unloved. Worth little more than the IPO proceeds.
I agree, they need to focus on reducing debt further though
Was getting very excited when I read that we have earnings of 55 ZMW per share. Converting to GBP that was £2.20 per 7.5p share. Obviously wrong, so compared to the 34 ZMW loss for last year which was actually 34 Ngwee or hundredths of a kwacha.
Still not bad to have earnings of third of share price. This reminded me why I originally bought in - the company could be bought from the cash over the counter in just one month.
At some stage this has to come good
Spotted that CDC were top of the list of UK/Zambia agreement this week and Zimbabwe were snubbed again. Think this could take off if CDC backed a Zimbeef lead revival across the border….
reversal?
tp 12p+++
Some strong sounding results, which should give the SP a lift. But im still uncomfortable with the level of debt in USD which will remain a drag. I notice they said that more debt was now in kwacha but the figures don’t support that statement so I’m a little confused
The Group has taken appropriate actions to restructure debt, with an increased percentage of facilities now denominated in Kwacha. Net debt** position as at 30 September 2021 is expected to close at USD42.7 million (2020: USD39 million) and ZMW714.8 million (2020: ZMW790.1 million) in Kwacha terms.
65% ahead of market... Kerrboom
all countries suffer from some corruption...Zambia has always had it share (I know first hand lol)
But Zambia(ns) is/are truly lovely, and the Copperbelt remains globally relevant/strategic
I think countries are increasingly wary of accepting China's strings attached help..........Zambia should be ok as long as covid doesn't continue to disrupt society. I expect the IMF to come to the fore, but Zambia needs to sort out it's own domestic (corruption) issues first.
so bought tiny (7k) more shares
#whynot
Not sure that China wants a healthy democracy so my guess is that the west will need to bail them out. UK one obvious interested party but also Euro loans makes the EU relevant. US may see an opportunity to push China back. IMF in a few months hopefully followed by a slap up beef feast??
surely either the West or China will bail Zambia out?
So it appears we have a new Zambian President.............if the incumbent concedes that is, and it looks like he's going to challenge in the courts. Here's hoping we get an orderly transition and the new President can address some of the fundamental issues in Zambia currently, particularly with the economy
I see another 1% of the company changed hands late on today.........
I think the answer to the buy/sell mystery is revealed lower down the rns. M&G took a controlling stake in Prudential which was the “buy” so maybe the sell off was an early offload to avoid becoming overweight