ZCCM-IH has handed over a total of 53 million dividends to majority shareholders that include Ministry of Finance, National Pensions Scheme Authority (NAPSA) and the Industrial Development Corporation.
Speaking during the handover ceremony of the dividend Cheque of approximately 7.9 million Kwacha to National Pensions Scheme Authority (NAPSA) in Lusaka, ZCCM-IH Chief Executive Officer Mavuto Chipata said the fourth dividend to the Authority is a fulfillment of one of the strategic pillars and a demonstration of the company’s commitment to its stakeholders for them to get a return on their investment.
Mr Chipata said ZCCM-IH remains resolute in ensuring that it continues to be profitable driven by devised in the 2018-2023.
“This fourth dividend cheque is a fulfillment of one of our strategic pillars, and today is a demonstration of our commitment to our shareholders, for them to get a return on their investment in ZCCM-IH” Mr Chipata said.
He explained that despite Copper remaining the mainstay commodity within the group, ZCCM-IH is widening it’s footprint in the mining sector by developing new products such as manganese in Central Province and gold processing in Rufunsa, Mumbwa and Mwinilunga.
And receiving the cheque (NAPSA) Director General Yollard Kachinda said the move by ZCCM-IH demonstrates the viability of NAPSA’s investments in various assets as guided by its investments guild lines.
“National Pensions Scheme Authority (NAPSA) has over 16, 000 pensioners on its payroll with a total pension payout in 2019 standing at over one billion Kwacha” Mr Kachinda said.
He adds that the cash flow ploughed back to turn the economic will of the country.
And speaking when he handed over a dividend cheque of approximately 27.2million Kwacha to the Industrial development Corporation (IDC), ZCCM-IH Chief Executive Officer Mabvuto Chipata said the Corporation’s strategic pillars are to increase shareholders value through consistent dividend pay-outs and portfolio optimization.
Mr Chipata mentioned that presentation of the Cheque presents the last Cheque to the majority shareholders from a total of 53 million Kwacha.
“One of our strategic pillars is to increase shareholder value through consistent dividend pay outs and portfolio optimization” Mr Chipata said.
He added that ZCCM-IH also has various minority shareholders both individual and institutional numbering over 3000, that are getting their fair share from the remaining 8.7 million Kwacha.
And receiving the Cheque, Industrial Development Corporation Group Chief Executive officer Mateyo Kaluba said the dividend received will be invested in green field projects and support to other companies in the group that are struggling.
Meanwhile speaking when he received a dividend cheque of K9.1 million Kwacha Finance Minister Dr Bwalya Ng’andu commended ZCCH-IH for being consistent in delivering returns to its shareholders for the past few years.
“I am particularly happy that ZCCM-IH has been consistent in delivering returns to its shareholders for the past few years with this dividend being the fourth pay out to be declared,” Dr. Ng’andu said.
He stated that as shareholders of 17.23% stake in the company, government notes that ZCCM-IH has continued to create value in its investments in order to sustain growth and maximum shareholder value.
“We believe that the formation of the ZCCM Gold Company Limited in which we own 49% shares as a Ministry, will see more proactive participation in the investments to be undertaken throughout the gold value chain in the country,” he stated.
Dr. Ng’andu urged other state owned companies to emulate ZCCM-IH adding that those whose performance is not satisfactory should pursue more aggressive reforms and strategies that will turn them to profitability and cease to be burden on the treasury.
Source: Money FM Business Radio