Meeting over Zimplats shares

Harare Bureau
The Mhondoro-Ngezi-Chegutu-Zvimba Community Share Ownership Trust and platinum giants Zimplats will soon approach government to formalise and complete legal instruments of the transfer of shares to the community.
Zimplats ceded 10 percent of shares to the community in line with the indigenisation policy and recently paid out $1,5 million, the balance on the $10 million it pledged to the CSOT.

Speaking soon after a meeting of the CSOT apex board meeting on Tuesday, chairperson of the Trust, Chief Zvimba, said Zimplats Holdings was ceding the shares to the Trust and not Zimplats company.

“It was clarified that Zimplats Holdings, which is a foreign company, is being indigenised and is the one ceding the shares to the trust which represents the community and not Zimplats Company which is a local company,” he said.

Chief Zvimba said the position had to be clarified with an amendment to the founding CSOT document and agreement, adding that it was Zimplats Holdings which met the pledge and conditions of the Indigenisation and Economic Empowerment Act.

He said formalisation of the transfer was a process, adding that the board was happy with progress so far. “We have documents that show that the community has been given the 10 percent shares, but it has to be formalised by the relevant ministry,” said Chief Zvimba.

“It is a process and I think we will be going to the Minister (Fracis Nhema of Youth Indigenisation and Empowerment) soon to sign the amendments which put things into proper perspective.”

He said there would soon be negotiations to give shares to workers and youths in compliance with the law.
Zimplats spokesperson Busi Chindove said the process to formalise the transfer of shares was underway and the meeting sought to update board members of the development.

“Essentially, we presented to the board proof of the deposit we made recently to meet our pledge of $10 million. The transfer of shares is a process but already it is underway,” she said.

Chief Zvimba said auditing of CSOT’s accounts for last year was underway and the previous audit gave it a clean bill of health and made recommendations to improve its efficiency.