Last checked at 19 Jun 2018 15:47
SENS ANNOUNCEMENT
(the "Notice" or "Announcement")
ISSUER
ZCCM INVESTMENTS HOLDINGS PLC ("ZCCM-IH")
[Incorporated in the Republic of Zambia]
Company registration number: 119540000771
Share Code: ZCCM-IH
ISIN: ZM0000000037
Authorised by: Chabby Chabala - Company Secretary
SPONSOR
Stockbrokers Zambia Limited
[Founder member of the Lusaka Securities Exchange]
[Regulated and licensed by the Securities and Exchange Commission of Zambia]
Contact Number: +260-211-232456
Website: www.sbz.com.zm
APPROVAL
The captioned Notice or Announcement has been approved by:
i. the Lusaka Securities Exchange
ii. the Securities and Exchange Commission
iii. Stockbrokers Zambia Limited
DISCLAIMER AND RISK WARNING
The Notice or Announcement contained herein contains information that may be of a price sensitive nature.
Investors are advised to seek the advice of their investment advisor, stockbroker, or any professional duly licensed by the Securities and Exchange Commission of Zambia to provide securities advice.
ISSUED: 15 June 2018
ZCCM INVESTMENTS HOLDINGS PLC
[Incorporated in the Republic of Zambia]
Company registration number: 119540000771
Share Code: ZCCM-IH
ISIN: ZM0000000037
["ZCCM-IH" or the "Company"]
ZCCM INVESTMENTS HOLDINGS PLC ADVANCE OF A LOAN TO THE INDUSTRIAL DEVELOPMENT CORPORATION LIMITED
1. INTRODUCTION
Industrial Development Corporation Limited ("IDC") is the majority shareholder in ZCCM Investments Holdings Plc ("ZCCM-IH"), holding 60.28% of the total issued share capital of ZCCM-IH.
IDC requested bridge financing from ZCCM-IH. The Board of ZCCM-IH considered and approved IDC's request on 29 March 2018. Therefore, ZCCM-IH has advanced a loan to IDC at commercial terms ("the Transaction").
2. TRANSACTION DETAILS
In line with the Listings Requirements of the Lusaka Securities Exchange ("LuSE"), this announcement sets out the major salient details of the Transaction, amongst others, as follows:
Borrower: | Industrial Development Corporation Limited ("IDC") |
Principle Amount: | USD 19,000,000.00. |
Interest: | Interest accrued is payable at maturity of the facility agreement. |
Maturity Date: | 12 months from the date of issuance |
Use of Proceeds: | The purpose of the loan is to secure financing for investments purposes. |
Security: | 360,937,534 ordinary shares in Zambia National Commercial Bank Plc ("ZANACO"). |
Fair and Reasonable Opinion on the Transaction: | The Independent Expert ("Expert") conducted an analysis on the terms of the Transaction to ascertain the extent to which the terms of the Transaction are fair and reasonable as far as the minority shareholders of ZCCM-IH are concerned. The Expert has declared that the Transaction is Fair and Reasonable, and the fairness opinion will be available for inspection by shareholders at the ZCCM-IH offices for a period of 28 days from Friday, 15th June 2018. |
3. CATEGORISATION OF THE TRANSACTION
The nature of the Transaction is classified as a Small-Related-Party Category 2 Transaction and is not subject to regulatory and Shareholder approval according to Section 10.7 of the Lusaka Securities Exchange Listings Rules.
By Order of the Board
Chabby Chabala
Company Secretary
Issued in Lusaka, Zambia on Friday, 15th June 2018
T | +260-211-232456
E | advisory@sbz.com.zm
W | www.sbz.com.zm
Stockbrokers Zambia Limited (SBZ) is a member of the Lusaka Securities Exchange and is regulated by the Securities and Exchange Commission of Zambia | |
First Issued on Friday, 15th June 2018 | |