ZCCM-IH

Corporate Announcements

ZCCM-IH | Notice of change of Directorate

ZCCM-IH wishes to announce the appointment of three (3) Directors to the Board with effect from 15th December 2016. These appointments have been made subject to ratification by ZCCM’s shareholders at the next Annual General Meeting.

The appointed directors and their brief profiles are:-

  1. Mr Fredson Kango Yamba:- Appointed as Non-Executive Director and Vice Chairperson.

    Mr Yamba is currently serving as Secretary to the Treasury in the Ministry of Finance. Mr Yamba’s career spans over thirty years mainly in the Civil Service. Prior to his appointment as Secretary to the Treasury, Mr Yamba was Director at the National Institute of Public Administration (NIPA) under the Research, Consultancy and Development Division.Mr Yamba has worked at the Ministry of Finance in various portfolios including Chief Budget Analyst and Acting Director. He also served as Director in the Ministry of Commerce, Trade and Industry in the Planning and Information Department. He has, in the past, provided consultancy services for different Ministries including Education, Judiciary and Finance.

    Mr Yamba has vast experience at serving as Non-Executive Director on various Boards and currently serves as Director on Mofed (Chairperson), Bank of Zambia, Zambia Revenue Authority and the Millennium Challenge Corporation (Chairperson). Mr Yamba holds an MSc in Development Finance and a Bachelor’s Degree in Economics and Public Administration. He has also received various training and certification in Budgeting in the Public Sector, Investment Appraisal and Management and Macroeconomic Policy Management from the Harvard University, USA.

  2. Mr Paul Mbotwa Chanda:- Appointed as Non-Executive Director.

    Mr Chanda is Permanent Secretary in the Ministry of Mines and Minerals Development. He has worked in the Public Service since 1995 and held various positions including that of Chief Human Resources Management Officer in the Ministry of Finance and Assistant Director, Human Resources and Administration at Cabinet Office among others. Mr Chanda previously served as Non-Executive Director on the ZCCM-IH Board from November 2014 to July 2016. He has extensive experience serving on Boards of Directors having being a Non-Executive Director on various Boards including ZESCO, Indeni Oil Refinery and Zambezi River Authority.

    Mr Chanda holds a Master of Arts Degree in Public Sector Management and a Bachelor of Arts Degree in Public Administration.

  3. Mr Mateyo Cresta Kaluba:- Appointed as Non-Executive Director.

    Mr Kaluba is currently the Acting Chief Executive Officer of the Industrial Development Corporation Limited (IDC) of Zambia. Mr Kaluba has experience in industrial development policy and planning, economic policy and planning; strategic planning; policy research; and monitoring and evaluation. He has served in senior positions in the Public Service including, Director Planning and Information in the Ministry of Commerce, Trade and Industry; Interim Director, Business Regulatory Review Agency; Advisor to the Chief Executive Officer on Policy & Strategy – IDC and Special Assistant to the Minister of Commerce, Trade and Industry.He has served as a Board Member on various public and private institutions.

    Mr Kaluba holds a Master’s Degree in Public Administration, a Master’s Degree in Business Administration and a Bachelor’s Degree in Business Administration. The ZCCM-IH Board is confident that the appointed Director’s will use their vast knowledge, skills and qualifications to add immeasurable value to the Company.

By Order of the Board

C Chabala
Company Secretary

Issued in Lusaka, Zambia on 10 January 2017

Lusaka Securities Exchange Sponsoring Broker
T | +260-211-232456
E | advisory@sbz.com.zm
W | www.sbz.com.zm
Stockbrokers Zambia Limited (SBZ) is a founder member of the Lusaka Securities Exchange and is regulated by the Securities and Exchange Commission of Zambia

First Issued on 10 January 2017
ZCCM-IH News

ZCCM-IH Corporate Newsletter | The Giant Awakens – Issue One

Dr. Pius Kasolo

Message from the CEO

It is with great pleasure that I present you with this very first edition of ZCCM Investments Holdings Plc (ZCCM-IH) corporate newsletter. The purpose of this newsletter is to provide you with updates on recent developments, advancements and various other activities happening within the Company.

ZCCM-IH TRANSFORMED from being a mining conglomerate that operated all mines in Zambia prior to privatization in 2000, into an investment holding company with diversified interests in commodities such as copper, cobalt, gold, coal, gemstones, energy and limestone, among others. We have a vision to contribute towards the economic growth of the country through industrialization and diversification.

Because of the cyclical nature of the mining industry, ZCCM-IH is actively pursuing investment opportunities beyond mining, in order to diversify into other sectors.

I am confident that ZCCM-IH is on the right track towards creating and maximizing shareholder value through our diversification efforts. These efforts lay the foundation by which we as a Company can build wealth and create opportunities for the benefit of our shareholders and the country at large.

We have taken specific steps to achieve this, the latest being the inauguration of the Maamba Collieries Thermal Power Plant (TPP) Unit 1 (150MW) of 300 megawatts (MW), which was synchronized to the national grid in July 2016. Together with our partners, we have invested close to USD $850 million in this project, that will go a long way in reducing the Country’s power deficit of over 1, 000 MW. The remaining unit – 150MW of the TPP, will also be put on line by end of this year.

I must hasten to say that these are challenging times for ZCCM-IH, as Copper mining represents more than 90% of our investment assets. As you may be aware, the past few years have been very difficult for the extractive industry, particularly the mining sector. We have witnessed low copper prices in the sector, slumping by about 30% at the beginning of 2015, dropping to six-and-a-half year low. This, coupled with the power deficit depressed the industry further.

Because of the cyclical nature of the mining industry, ZCCM-IH is actively pursuing investment opportunities beyond mining, in order to diversify into other sectors such as energy, agriculture and real estate, so that the Company can create and maximize shareholder value. For us, a multi-sector approach is an important part of our resilience, and we believe this approach presents ZCCM-IH as an investment gateway not only into Zambia’s mining sector, but into other sectors as well…
Archived Tenders

RE-ADVERTISED | Request for Expressions of Interest: Invitation for Pre-Qualification for Provision of Property Maintenance Services for ZCCM-IH Buildings

REQUEST FOR EXPRESSIONS OF INTEREST
INVITATION FOR PRE-QUALIFICATION FOR PROVISION OF PROPERTY MAINTENANCE SERVICES FOR ZCCM-IH BUILDINGS

1.0 BACKGROUND

ZCCM Investments Holdings Plc. (ZCCM-IH) is an investments holding company with significant investments in Zambia’s mining industry. The Government of the Republic of Zambia (GRZ) holds 87.53% of the shares in ZCCM-IH (the Company), with the remaining 12.47% being held by private investors. The geographical spread of the minority shareholders covers 29 countries in Europe, Africa, the Caribbean, Australia, Asia and the USA.

The company has a primary listing on the Lusaka Stock Exchange, and secondary listings on the New York Stock Exchange, Paris Euronext (Euronext) and London Stock Exchanges under ISIN number ZM0000000037.

ZCCM-IH owns property in Ndola (Mining Industry Archives), Kitwe (Investments House), Kalulushi (Technical Directorate and Technical Library), Trinity Park (Lusaka), 30B Kudu Road, Kabulonga (Lusaka) and Kabwe (Office block and 2 laboratories). These properties are occupied by both ZCCM-IH and commercial clients under lease arrangements.

Given the increase in volume and scope in ensuring efficient service delivery and maintenance of the said properties, ZCCM-IH requires the services of a property manager on a full time basis. The properties will need structural maintenance in order to keep them in good working order. To achieve this, identifying and resolving of minor repair works that may disturb the work environment will help in prevention of major disasters and may reduce maintenance costs by 30% or more.

The Company therefore intends to engage a Property Maintenance Services Firm to provide a one stop shop for the Client’s maintenance needs.

2.0 SCOPE OF WORK

The Property Maintenance Services Firm’s scope of works shall include:

  • Scheduling quarterly inspection of the various ZCCM-IH properties;
  • Perform inspection and provide a written Inspection Report with recommendations;
  • Provide quotes for necessary work to be carried out;
  • Perform requested maintenance/repairs in liaison with the Property Manager as and when necessary.

The inspections shall include:

5.1 Building Interior

  • Floors, walls and ceilings;
  • Windows and doors.

5.2 Electrical – Mechanical – Plumbing

  • Electrical, mechanical and plumbing.

5.3 Building Exterior

  • Foundation
  • Walk ways and paved yard
  • Exterior Walls and Doors
  • Porch and Decks
  • Stairs and Steps
  • Gutters and Downspouts
  • Roofing services and repairing chimneys.

The contract is expected to initially be for a period of 12 months with a possibility for renewal.

ZCCM-IH now invites Eligible Property Maintenance Services Firms to indicate their interest in providing the above services. Interested firms must provide information to demonstrate that they are qualified to perform the services (brochures, description of similar assignments, experience in similar conditions etc.).

A firm will be pre-qualified if they meet the following criteria:

  1. Demonstrated experience in maintaining and managing properties of a high standard and for renowned institutions for at least not less than five years consecutively;
  2. Demonstrated understanding of property Maintenance Services;
  3. Possesses valid NAPSA Compliance Certificate;
  4. Possesses valid Workers’ Compensation Fund Control Board Compliance Certificate;
  5. Possesses Company Certificate of Incorporation;
  6. Possesses valid Tax Clearance Certificate; and
  7. Possesses a valid Practising Licence from the relevant Regulatory Authority.

Interested Property Maintenance Services Firms must submit one (01) original and four (04) hard copies of their Pre-qualification documents to the address below not later than 10:00 hours on Wednesday, 4th January 2017.

Procurement Officer
ZCCM Investments Holdings Plc
Mukuba Pension House
5309 Dedan Kimathi Road
P.O. Box 30048
Lusaka
Email: temboc@zccm-ih.com.zm

Those bidders who have already submitted an Expression of Interest in response to the earlier advertisement need not resubmit.
Archived Tenders

Invitation for Bids: Provision of Security Services to ZCCM Investments Holdings

Invitation for Bids (IFB)
Provision of Security Services to ZCCM Investments Holdings (ZCCM-IH)
ONB No.: ZCCM-IH/072/2016
  1. ZCCM Investments Holdings Plc. has received financing from own sources for the 2017/2018 Financial Year, and intends to apply part of the funds to cover eligible payments under the Contract for the Provision of Security Services to ZCCM-IH, Contract No.: ZCCM-IH/072/2016.

  2. ZCCM-IH now invites sealed bids from eligible bidders for the Provision of Security Services to ZCCM-IH at the following ZCCM-IH facilities:
    Trinity Park Office Complex, Mass Media Area, Alick Nkhata Road, Lusaka and 30B Kudu Road, Kabulonga, Lusaka;

    The contract duration will be 12 months renewable subject to satisfactory performance during the initial 12 months.

  3. Bidding will be conducted through the Open National Bidding (ONB) procedures specified in the Public Procurement Act of 2008 and the Public Procurement Regulations of 2011 and is restricted to firms registered in Zambia. The following CEEC preferential treatment shall be applied as part of the evaluation:

    3.1 Citizen-influenced company – 4%
    3.2 Citizen-empowered company – 8%
    3.3 Citizen-owned company – 12%

  4. Interested eligible bidders may obtain further information from the address below and inspect the Bidding Documents at this address from 08:00 – 13:00 and 14:00 – 17:00 local time, Monday to Friday inclusive.

  5. Qualifications requirements include:
    1. Experience as the main service provider in at least two (02) contracts of a similar nature and scope in the last five (05) years;
    2. A minimum amount of liquid assets and/or credit facilities of ZMW65,000.00;
    3. Average Annual Turnover in any of the last ten (10) years of ZMW800,000.00.

  6. A complete set of Bidding Documents in English may be purchased by interested bidders ON THE SUBMISSION OF A WRITTEN APPLICATION to the address below and upon payment of a non refundable fee of Zambian Kwacha Five Hundred (ZMW500.00). The method of payment will be Cash or Bank Certified Cheque.

  7. Bids shall be valid for a period of 45 days after Bid closing and shall be delivered to the address below at or before 10:00 hours on Tuesday, 24th January 2017. Electronic bidding shall not be permitted. Late bids will be rejected. Bids will be opened physically in the presence of bidders’ representatives who choose to attend in person at the address below immediately after 10:00 hours on 24th January 2017. All bids must be accompany a Bid Securing Declaration.

  8. There will be an official site visit on Thursday, 5th January 2017. All Bidders to meet at Trinity Park Office Complex, Mass Media Area, Alick Nkhata Road, Lusaka at 10:00 hours;

  9. The address referred to above is:

    ZCCM Investments Holdings Plc.
    3rd Floor, Mukuba Pension House
    5309 Dedan Kimathi Road
    Lusaka, Zambia
    Tel: +260-211-228833
    E-mail: temboc@zccm-ih.com.zm

Investee Company News, Press Releases, ZCCM-IH News

Press Statements by ZCCM-IH and KCM during a Joint press briefing over the Default Judgment against the latter

ZCCM-IH Offices, Lusaka – Konkola Copper Mines (KCM) is one of Zambia’s largest copper producers and one of the largest private sector employers in the country, with operations in four locations, namely Chingola, Chililabombwe, Kitwe and Nampundwe.

The majority shareholder of KCM is London-listed Vedanta Resources, which holds a 79.4% stake, while ZCCM-IH has a 20.6% shareholding in KCM.

KCM and ZCCM-IH have been engaged in discussions with regards to the price participation settlement agreement, which was entered into by both parties in December 2012.

On Friday 16th December, the High Court in London requested KCM to settle this amount with ZCCM-IH and resolve this matter within 28 days.

I am standing here today as part of a joint press briefing with the CEO of ZCCM-IH, Dr Pius Kasolo, to assure all of our stakeholders that we are working together to resolve this matter amicably and to reassure everyone that there is no risk to the KCM business.

We remain fully committed to fulfilling our financial obligations.

Vedanta remains committed to the Group’s operations in Zambia, which is reflected by the significant investment of over $3 billion in KCM since 2004.

Vedanta and KCM have a 50 year vision to continue mining copper in Zambia and we look forward to further strengthening our relations with all stakeholders, including ZCCM-IH.

Mr Steven Din
Chief Executive Officer

Investee Company News, Press Releases, ZCCM-IH News

Press Statements by ZCCM-IH and KCM during a Joint press briefing over the Default Judgment against the latter

ZCCM-IH Office, Lusaka – As you may be aware, ZCCM Investments Holdings Plc (ZCCM-IH) obtained a Judgment against Konkola Copper Mines Plc (KCM) in the sum of about $ 103 Million to be paid within 30 days, as a result of unpaid sums due to ZCCM-IH dating back to 2012.

I must mention and emphasize that ZCCM-IH is not in the business of litigating, but in the business of enhancing value for its shareholders.

In the quest to achieve this, there are instances where misunderstandings between parties have to be resolved by an independent body, which in this instance was the courts of law.

This should not be taken as a deliberate attack on our partners or indeed a quest to injure them. The action was undertaken because we are also answerable to our shareholders and various stakeholders which include the Zambian people.

ZCCM-IH remains committed to ensuring that the KCM operations continue in the country, and to provide the necessary support to them, to ensure that we enhance the value of our stake in the Company.

Following the judgment and this joint briefing, we wish to state that the business relationship between ZCCM-IH and KCM will continue, but also to remind our partners that we will do what is necessary to protect our interests.

Going forward, both ZCCM-IH and KCM have committed to manage the business, in a manner that is mutually beneficial to all the parties involved.

Dr. Pius C. Kasolo
Chief Executive Officer

Investee Company News, ZCCM-IH News

ZCCM-IH | Announcement default judgement against KCM

We refer to the Market Update where the market was advised that ZCCM-IH had filed a Claim Form with the English High Court to recover outstanding sums in excess of US$100 million due to it from Konkola Copper Mines Plc (KCM) pursuant to the terms of the Settlement Agreement entered into in 2013.

We now advise that ZCCM-IH has been successful in its application for default judgment. KCM has been ordered (on 16 December 2016) to pay all sums owed to ZCCM-IH pursuant to the Settlement Agreement (plus associated contractual interest) within thirty (30) days. The total amount to be paid by KCM amounts to approximately US$103 million. KCM has also been ordered to reimburse ZCCM-IH 80% of the costs it has incurred in pursuing its claim.

Further directions have been given to determine whether KCM made payments to Vedanta Group Companies in breach of the prohibition on doing so under the Settlement Agreement. If and to the extent it is determined that such payments were made, ZCCM-IH will be entitled to recover additional sums from KCM.

By Order of the Board
C Chabala
Company Secretary


Issued in Lusaka, Zambia on 20 December 2016

Lusaka Securities Exchange Sponsoring Broker
T | +260-211-232456
E | advisory@sbz.com.zm
W | www.sbz.com.zm
Stockbrokers Zambia Limited (SBZ) is a founder member of the Lusaka Securities Exchange and is regulated by the Securities and Exchange Commission of Zambia

First Issued on 19 December 2016

Investee Company News, ZCCM-IH News

Vedanta Unit Told to Pay Zambian State Company $103 Million

Vedanta Resources Plc’s Zambian unit must pay the southern African country’s majority state-owned mining investment company about $103 million after a London ruling related to a copper-price agreement.

ZCCM Investments Holdings obtained a default judgment in the U.K.’s High Court of Justice against Konkola Copper Mines on Dec. 16, it said in an e-mailed statement Monday. KCM said in an e-mailed statement on Tuesday that it’s consulting with ZCCM-IH and “other relevant stakeholders to resolve all outstanding issues within 30 days, in accordance with the court’s ruling.”

KCM hadn’t paid the money owed under the copper-price participation deal because of “operational and financial challenges,” ZCCM-IH, which has a 20.6 percent shareholding in Konkola, said in its 2015 annual report. The Vedanta unit was in talks with ZCCM-IH and the government to pay the claim, which needed to be settled from available cash flows, KCM Chief Executive Officer Steven Din said Nov. 10. The company was at that point hoping to resolve the matter out of court, after ZCCM-IH filed the case in June, he told investors on a call.

“We are working together to resolve this matter amicably,” Din told reporters at a joint press briefing with ZCCM-IH in Lusaka, Zambia’s capital, on Tuesday.

The court ruled that ZCCM-IH is entitled to recover more money from KCM if it’s found that the company transferred funds to Vedanta, which would have been in breach of the pricing agreement.

ZCCM-IH is also claiming damages from First Quantum Minerals’ Kansanshi unit in Zambia, in which it has a 20 percent shareholding, in the Lusaka High Court, and has started arbitration proceedings in London over the same matter related to a loan it said Kansanshi gave First Quantum that wasn’t at arm’s length terms. First Quantum denies any wrongdoing.

Source: Bloomberg

Corporate Announcements

New appointment of Non-Executive Director on the Board of ZCCM-IH

In compliance with the Securities Act and the Lusaka Securities Exchange (“LuSE”) Listing Requirements, ZCCM-IH announces the appointment of Mr. Teddy D. Mulonga as Non-Executive Director on the ZCCM-IH Board representing the National Pension Scheme Authority (NAPSA) which holds 15% shares in the Company. Mr. Mulonga was appointed to the ZCCM-IH Board on 31 October 2016.

Mr. Mulonga has vast experience spanning decades in senior management positions both in the private and public sectors. He has served in senior positions in the Government of the Republic of Zambia, including as Director General Zambia National Tender Board, Permanent Secretary in the Ministry of Labour and Social Security, Permanent Secretary Ministry of Sport, Youth and Child Development and also as Deputy Secretary to the Cabinet – Administration.

He worked for the Bank of Zambia and the Mutende Investments Group of Companies. He has served on various Boards including Ndola Lime Company, Kariba North Bank Limited and as Chairman of both Kariba Minerals Limited and the Local Authority Superannuation Fund. He also served as President of the Bible Society of Zambia.

He is currently serving as Board Chairperson for the National Pension Scheme Authority, Council Member of the Zambia Institute of Purchasing and Supply and Managing Consultant at TDM and Associates.

Mr. Mulonga is a graduate from the University of Zambia with a Bachelor of Arts Degree.

The ZCCM-IH Board is confident that Mr. Mulonga will contribute immensely to the development and realization of the goals of the Company.


By Order of the Board
C Chabala
Company Secretary


Issued in Lusaka, Zambia on 29 November 2016

Lusaka Securities Exchange Sponsoring Broker
T | +260-211-232456
E | advisory@sbz.com.zm
W | www.sbz.com.zm
Stockbrokers Zambia Limited (SBZ) is a founder member of the Lusaka Securities Exchange and is regulated by the Securities and Exchange Commission of Zambia

First Issued on 29 November 2016

ZCCM-IH News

Invitation – Investor Day: ZCCM-IH’s shareholders on Euronext Paris Stock Exchange

Dear Esteemed Investor,

You are cordially invited for the Investor Day interaction meeting to be held on Friday, 02 December, 2016, from 1400 hours to 1800 hours. The venue is at the SERVCORP CENTRE DE CONFERENCES EDOUARD VII – PARIS OPERA (23 square Edouard VII 75009 Paris, France T +33 1 53 43 91 00 servcorpconferences.fr), in the Sydney amphitheater.

This interaction event is a component of ZCCM Investment Holdings Plc’s overall investment communications program and will discuss the company’s general affairs already in the public domain. The event will also provide an opportunity to hear from the investors.

In attendance will be the Chief Executive Officer & Executive Board Director – Dr. Pius C. Kasolo, Chief Financial Officer – Mr. Mabvuto Chipata, Chief Corporate Services Officer/Company Secretary – Mr. Chabby Chabala and Non-Executive Board Director – Mr Philippe Taussac.

Please kindly confirm your attendance to me at kakomal@zccm-ih.com.zm.

Yours Faithfully,
ZCCM Investments Holdings Plc

Loisa Mbatha-Kakoma
Public Relations Officer