SENS ANNOUNCEMENT
(the “Notice” or “Announcement”)
ISSUER
ZCCM INVESTMENTS HOLDINGS PLC (“ZCCM-IH”)
[Incorporated in the Republic of Zambia]
Company registration number: 771
Share Code:
ZCCM-IH
ISIN:
ZM0000000037
Authorised by:
Chabby Chabala – Company Secretary
SPONSOR
Stockbrokers Zambia Limited
[Member of the Lusaka Stock Exchange]
[Regulated and licensed by the Securities and Exchange Commission of Zambia]
Contact Number:
Website:
+260-211-232456
www.sbz.com.zm
APPROVAL
The captioned Notice or Announcement has been approved by:
i. the Lusaka Stock Exchange
ii. the Securities and Exchange Commission
iii. Stockbrokers Zambia Limited
RISK WARNING
The Notice or Announcement contained herein contains information that may be of a price sensitive nature.
Investors are advised to seek the advice of their investment advisor, stockbroker, or any professional duly licensed
by the Securities and Exchange Commission of Zambia to provide securities advice.
FIRST ISSUED: 21 September 2015
ZCCM INVESTMENTS HOLDINGS PLC
(Incorporated in the Republic of Zambia /Company Registration Number: 771)
Share Code: ZCCM-IH
ISIN: ZM0000000037
(“ZCCM-IH” or “the Company”)
Address:3rd Floor, Mukuba Pension House, Dedan Kimathi Road, Lusaka
TRANSFER OF SHARES BY THE GOVERNMENT OF ZAMBIA TO THE
INDUSTRIAL DEVELOPMENT CORPORATION ZAMBIA LIMITED
Introduction
On 21 January 2014, the Government of the Republic of Zambia (“GRZ”) incorporated the Industrial
Development Corporation Zambia Limited (“IDC”). The IDC is wholly owned by the GRZ, via the Minister of
Finance (Incorporation) Act, Cap 349 of the Laws of Zambia (“Minister of Finance”).
The primary role and objective of the IDC is to stimulate economic development and growth, via
industrialisation, job and wealth creation in Zambia, and do so for the benefit of the Zambian citizenry.
Simultaneously, the IDC has been tasked by the GRZ to superintend the operations of state owned enterprises
and its shareholding in companies incorporated under the Companies Act, Cap 388 of the Laws of Zambia as
well as those regulated under the Banking and Financial Services Act, Cap 387 of the Laws of Zambia.
Reorganization of GRZ’s Shareholding in investee companies and State Owned Enterprises
Accordingly on 24th August 2015, GRZ completed the transfer of its shares from the Minister of Finance to the
IDC in 29 companies including ZCCM-IH.
Transfer of GRZ shares in ZCCM-IH to the IDC
As at close of business on 23 August 2015, the GRZ held 77.7% shareholding in ZCCM-IH, via the Minister of
Finance, made up of 96,926,669 as Class “A” shares and 27,961,237 as Class“B” shares.
On 24 August 2015, GRZ transferred to the IDC all the 96,926,669 Class “A” shares, representing 60.3%
shareholding in ZCCM-IH. The 27,961,237 Class “B” shares, representing 17.4% shareholding in ZCCM-IH have
not been transferred to the IDC at this stage and are currently being sold to the Zambian public under a
Preferential Secondary Market Offer.
The Preferential Secondary Market Offer of ZCCM-IH Shares
In the 2015 National Budget address, delivered on 10 October 2014, the GRZ announced its intention to sell all
its Class “B” shares held in ZCCM-IH. As at 10 October 2014, GRZ held 87.5% shareholding in ZCCM-IH via the
Minister of Finance, made up of 96,926,669 as Class “A” shares, representing 60.3% shareholding in ZCCM-IH
and 43,811,868 Class “B” shares, representing 27.2% shareholding in ZCCM-IH.
The primary motivation for the sell down of the GRZ “B” shares held in ZCCM-IH is stated in the 2015 National
Budget address, as follows:
Quote:
“LuSE listing requirements stipulate that no single shareholder should control more than 75 % of the equity in any
company. This is to ensure that more of our citizens participate in the capital markets.
To comply with the listing requirements, Government will itself reduce its shareholding in ZCCM Investments
Holdings PLC to 60 percent from 87 percent. The 27 percent shares will be sold to Zambian citizens as a way of
entrenching economic independence of our people.” End of Quote
In this regard ZCCM-IH management was mandated by the GRZ, through the Minister of Finance, to sell all the
Class “B” shares held by GRZ to the Zambian public and eligible Zambian institutions.
The process of selling the 43,811,868 Class “B” shares initially held by GRZ has begun and to date a total of
15,850,631 shares, representing 9.9% of the shareholding in ZCCM-IH, have been sold to the National Pension
Scheme Authority (“NAPSA”). On 30 July 2015, ZCCM-IH issued an Information Supplement regarding the GRZ
Preferential Secondary Market Offer on the remaining balance of 27,961,237 shares (17.4% shareholding in
ZCCM-IH) to be sold to Zambian citizens and eligible Zambian institutions.
The table below shows the shareholding in ZCCM-IH after the transfer of all the Class “A” shares to the IDC on
24 August 2015.
SHAREHOLDER
Class
Number of Shares
GRZ - Directly held through Minister of
Finance
GRZ - Directly held through Minister of
Finance
IDC
NAPSA
Other Shareholders
Total
Shareholding in ZCCM-IH
on and after 24th August
2015
Number of Shares
%
Shareholding in ZCCM-IH
before 24th August 2015
%
A
96,926,669
60.3
-
-
B
27,961,237
17.4
27,961,237
17.4
A
-
-
96,926,669
60.3
B
24,120,043
15.0
24,120,043
15.0
B
A and B
11,792,337
7.3
11,792,337
7.3
160,800,286
100
160,800,286
100
Impact of the Share Transfer on the Preferential Secondary Market Offer.
On 30 July 2015, the Minister of Finance launched the Preferential Secondary Market Offer (the “Offer”) of
27,961,237 Class “B” shares held by GRZ for sale to the Zambian public (the “sell-down”) to reduce GRZ’s
shareholding in ZCCM-IH to 60.3%. The Offer is currently still open.
Therefore it will be noted that:

The Offer and sale by GRZ of all its Class B shares in ZCCM-IH continues and is not affected by the
transfer by GRZ of the Class “A” shares to the IDC ;

The majority shareholder in ZCCM-IH effective 24 August 2015, is now the IDC holding Class “A”
shares representing 60.3% shareholding ;

IDC is wholly owned by the GRZ via the Minister of Finance as direct shareholder. The Class “A”
shares which are now directly owned by IDC were previously directly held by the Minister of
Finance ;

If the shares under the Preferential Secondary Market Offer are fully taken up, then at the end of
that Offer exercise, the shareholding of GRZ will be nil;

Any unsold or residual shares from the Offer will then be offered to all investors, both local and
foreign with no restrictions regarding the domicile of the investor. The residual shares will
remain directly held by the Minister of Finance until they are fully taken up; and

All the proceeds from the sell-down will accrue to GRZ as the seller.
Shareholders will be updated of any further developments if any.
Accordingly, the information contained herein may be of a price sensitive nature and investors are advised to
always seek professional advice before investing in shares.
Date: 21 September 2015
LUSAKA STOCK EXCHANGE SPONSORING BROKER
STOCKBROKERS ZAMBIA LIMITED
[MEMBER OF THE LuSE and REGULATED BY THE SECURITIES AND EXCHANGE COMMISSION OF ZAMBIA]
T:
E:
W:
+260-211-232456
info@sbz.com.zm
www.sbz.com.zm
First issued on 21 September 2015
T:
+260-211-232456
W:
www.sbz.com.zm