ZIMBABWE: Zimbabwe and Impala Platinum, the world's second largest platinum producer agree to transfer 51 percent stake in the company's local unit Zimplats to black Zimbabwean investors, as required by the government

Record ID: 858172

  • Title: ZIMBABWE: Zimbabwe and Impala Platinum, the world's second largest platinum producer agree to transfer 51 percent stake in the company's local unit Zimplats to black Zimbabwean investors, as required by the government
  • Date: 14th March 2012
  • Summary: HARARE, ZIMBABWE (MARCH 13, 2012) (REUTERS) ZIMBABWE MINISTER OF YOUTH EMPOWERMENT AND INDIGENISATION SAVIOUR KASUKUWERE SITTING DOWN IMPLATS CHIEF EXECUTIVE OFFICER DAVID BROWN SITTING DOWN (SOUNDBITE) (English) ZIMBABWE MINISTER OF YOUTH DEVELOPMENT, INDIGENISATION AND EMPOWERMENT, SAVIOUR KASUKUWERE, SAYING: "Today the plan that has been submitted to us by Impala Platinum to a very large extent basically complies with the laws of our country, that is in terms of achieving the 51 percent minimum indigenisation threshold." PHOTOGRAPHERS (SOUNDBITE) (English) IMPLATS EXECUTIVE OFFICER, DAVID BROWN, SAYING: "But I think essentially, we have found each other in this meeting and I think all goes very well for the mining industry in Zimbabwe, also Zimplats and its contribution it can make to the economy and the country and the people of Zimbabwe going forward, so thank you very much"." CAMERA OPERATORS
  • Embargoed: 29th March 2012 13:00
  • Keywords:
  • Location: Zimbabwe, Zimbabwe
  • City:
  • Country: Zimbabwe
  • Topics: Business,Industry,Politics
  • Reuters ID: LVAC5Z88ZHRGSHKFYNJUCFXI9DKL
  • Aspect Ratio:
  • Story Text: Zimbabwe and Impala Platinum (Implats) <IMPJ.J>, the world's second largest platinum producer, said on Tuesday (March 13) they agreed on the transfer of a 51 percent stake in the company's local unit Zimplats to black Zimbabwean investors, as required by the government.
    Speaking at a joint news conference after the deal was announced, Zimbabwe's Minister Of Youth Development, Indigenisation And Empowerment, Saviour Kasukuwere said that the agreement between the company and the Zimbabwean government complied with government legislation.
    "Today the plan that has been submitted to us by Impala Platinum to a very large extent basically complies with the laws of our country, that is in terms of achieving the 51 percent minimum indigenisation threshold," Kasukuwere said.
    Implats CEO David Brown told the gathering of journalists that the agreement with the government was good not only for mining but also the Zimbabwean economy as a whole.
    "But I think essentially, we have found each other in this meeting and I think all goes very well for the mining industry in Zimbabwe, also Zimplats and its contribution it can make to the economy and the country and the people of Zimbabwe going forward," Brown said.
    The agreementa war of words between the government and Implats over the ownership requirement, which had jolted investor confidence in the southern African state and was widely seen as a populist tactic by President Robert Mugabe's ZANU-PF party in the run-up to elections expected later this year.
    It remained unclear however how the cash-strapped Zimbabwean government would pay for the stake worth hundreds of millions of dollars.
    The joint statement said the 51 percent would be broken down as follows: 10 percent to the community, another 10 percent to Zimplats employees and 31 percent to the state's National Indigenisation and Economic Empowerment Fund.
    Following the news conference Kasukuwere said that the finer details of the transaction like how the shares would be valued would still need to be worked out.
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2012. Open For Restrictions - http://about.reuters.com/fulllegal.asp
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