ZCCM IH has advised shareholders that it intends to appeal against the decision of the Court of Appeal and to stay the judgment in the matter relating to KCM, according to a statement from the Company.
According to the statement, “Shareholders of ZCCM Investments Holdings Plc (“ZCCM-IH”) are referred to the announcement dated 23 May 2019 concerning the following:
- ZCCM-IH filed a petition in the High Court of Zambia for the winding up of Konkola Copper Mines PLC (“KCM”) on 21 May 2019 (the “Petition”), the appointment by the Court of Mr Milingo Lungu as provisional liquidator of KCM (the “Provisional Liquidator”).
- The legal proceedings commenced on 2 July 2019 in the High Court of South Africa and applications made to the Zambian High Court by Vedanta Resources Limited and Vedanta Resources Holdings Limited (together “Vedanta”) to stay the liquidation proceedings and refer the matter to arbitration.
Shareholders are informed that the High Court of Zambia ruled against Vedanta on 7 August 2019. On 13 August 2019 Vedanta appealed to the Court of Appeal of Zambia against the decision of the High Court of Zambia which denied them their application to stay the liquidation proceedings and refer the matter to arbitration. The Court of Appeal on 20 November 2020 ruled in favour of Vedanta and stayed the liquidation proceedings and referred the matter to arbitration.
The statement issued by ZCCM IH Company Secretary Chabby Chabala further stated that “ZCCM-IH will provide details on this matter, as it progresses, in due course”.