Fin24

Amplats to transfer Zim mine to locals

2012-11-01 17:03

Harare - Anglo Platinum [JSE:AMS] has agreed to transfer majority of its Unki mine in Zimbabwe to locals, the firm said on Thursday, following pressure from President Robert Mugabe’s government.

Amplats and the government said in a joint statement the transaction values the 51% stake at $142.8m. A state fund will take 21% of the mine with employees, a community trust and unnamed local investors taking 10% each, they said.

The deal will be funded through the dividends due to the new local shareholders for the next 10 years.

Harare is championing a controversial law requiring foreign-owned firms, mostly mines and banks, to surrender majority stakes in their Zimbabwean operations to local blacks.

Earlier this year, Impala Platinum bowed to Zimbabwe’s pressure to surrender a 51% stake in its Zimplats unit to local black investors.

Zimbabwe, with the largest known platinum deposits in the world after South Africa, is seen as a growth area for the sector. But analysts say the 51% local ownership requirement diminishes the country’s attraction as an investment destination.

Zimbabwe says its empowerment policy seeks to redress the racial inequities of past colonial rule, but the government’s seizure of white-owned farms over the last decade has destroyed commercial agriculture in what was once described as a regional bread basket.

Comments
  • ChrisGRoyle - 2012-11-01 17:16

    I have a feeling that this isn't going to end well.

      joe.mangena.1 - 2012-11-01 18:17

      it's only a feeling dude, pray for things get ever better so people start going back home,

      moriri.mosweu - 2012-11-01 18:47

      As much as I sometimes get mad about Mugabe, the fact is he is progressive for the sake of his people, no matter how difficult the things turn out in the beginning, their ending is always precious. ANC wimps, watch and learn what is called patriotism.

      shaunpatrickdaly - 2012-11-01 19:12

      As evidenced by Zim being ranked 154th out of 186 countries in terms of corruption, the only area Mugabe could be considered progressive is Kleptocracy.

  • mark.a.fysh - 2012-11-01 17:35

    This is like printing money, which is something Mugabe did in unbelievable excess till the Zim dollar wasn't worth the paper it was printed on. One would think he would have learned that devaluation and dilution end up trashing worth. I pity the present shareholders of this mine.

      damien.bako - 2012-11-02 08:06

      They should get rid of all their shares and invest elsewhere while there is still something to get rid of.

      herman.booysen2 - 2012-11-02 08:33

      So tell me how do the dividends pay for the transaction, does this means that the current shareholders is actually funding the give away ?

  • paseka.khetsi - 2012-11-01 17:49

    Viva Mugabe,transfer shares to indigenous Zimbabweans,not one Cyril Ramaphosa.

  • piero.mendace.5 - 2012-11-01 17:51

    I wonder who the unnamed local investors are...

      herman.booysen2 - 2012-11-02 08:31

      Mogabe family ?

  • joseph.vanvuuren - 2012-11-01 17:54

    This is how it will end: All miners going to drive merc's, nobody is going to do mining! What a joke, Watch closely zumaville.

      dumi.zulu.31 - 2012-11-02 08:48

      You forget that you are dealing with Zimbabweans. Nothing is ever as it seems. Education, they are far ahead of you hands down. They are the only country that has managed to redress the inequalities of the past and still have an economy to talk about even though efforts were made to destry them. Yes you will have bad apples here and there but they have managed to pull it off. Now the economy is growing and unemployement figures have began to go down. You should really look at it a bit closser. It's sweet when its in the left hand but when its gone to the right hand its sour.

      Blixum - 2012-11-02 15:36

      Yeah! No mining will be done and now dividends will be paid and the deal will fall through. Or will it?

  • frederick.frier - 2012-11-01 18:05

    Watch this space....Not long and it's stuffed!!!!

  • joe.mangena.1 - 2012-11-01 18:09

    that was brave of the Implats, they deserve a Bell's for finally seeing the way.

      damien.bako - 2012-11-02 08:13

      Nothing brave about it it was done under duress but don't count on them staying they will be withdrawing their expertise soon and those mines will end up just like their farms did. Viva Robert viva!!!

      herman.booysen2 - 2012-11-02 08:29

      You are so blind !

  • giancarlo.groenewald - 2012-11-01 18:13

    In the war we fought against terrorism and communism now it grips Zimbabwe and South Africa...

      Henchman Monco - 2012-11-01 18:34

      lol where exactly did you fight that war boet??? n against whom???

      herman.booysen2 - 2012-11-02 08:23

      Mr Groenewald, do not use the word we, we can be an elite group that will have your head if you did not earn the right to do so. Mostly it has something to do with sacrifices.

  • nicholas.graan - 2012-11-01 18:16

    "Zimbabwe says its empowerment policy seeks to redress the racial inequities of past colonial rule" you mean it is a free handout to those who cannot dig the stuff out the ground themselves.

  • Gerhard1Marais - 2012-11-01 18:30

    Oh NO ok quick be witty who is going to get blamed for fatalities now? Oh I know the people that made the mine.

  • jomdubai - 2012-11-01 18:49

    You might as well close the mine and get out if the country. It's stuffed now anyway.

  • liezl.haramis.7 - 2012-11-01 18:59

    Anyone who can not remember the war, shouldnt have access to technology...let alone read the news or comment...lol

  • janis.moolman - 2012-11-01 19:10

    And everything have a price. As Anglo said we have a plan lets play and let them loos

  • Montagnes.Bleues - 2012-11-02 08:42

    Ashes to ashes, Dust to Dust Zim to the fire and the dust!

  • nhla.prv - 2012-11-02 08:47

    Interesting to see all the big foreign conglomerates towing the line in Zim on the 51% indigenisation.I never thought they would so amicably.I guess they know the value of the stakes.

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