Bloomberg News

Zimbabwe Says It Won’t Compensate Impala for Zimplats Stake

March 06, 2013

Impala Platinum Holdings Ltd. (IMP)’s Zimbabwean unit must cede 51 percent ownership to the country without compensation, Zimbabwe Indigenization Minister Saviour Kasukuwere said.

Zimbabwean President Robert Mugabe said March 1 that the country shouldn’t pay for the stake in Zimplats Holdings Ltd. (ZIM) because all natural resources belong to the state.

“They know what the president said and they have to do that,” Kasukuwere said today by telephone from Harare, the capital.

Impala, which owned 87 percent of Zimplats and is the world’s biggest producer of the metal after Anglo American Platinum Ltd., signed terms to sell 51 percent of the unit to the country’s black citizens in January. Any previous agreement between Zimplats and Zimbabwe’s National Indigenization and Economic Empowerment Board must now “take into account” Mugabe’s statement, Kasukuwere said.

Calls to Zimplats Chief Executive Officer Alex Mhembere in Harare weren’t answered.

Zimbabwe seized 27,498 hectares (67,949 acres) of Zimplats’s land March 1, saying the company had 30 days to appeal a decree contained in the Government Gazette.

NI AFRICA NI AFRICAX NI AME NI EM NI SADC NI ZIMB

To contact the reporter on this story: Brian Latham in Johannesburg at blatham@bloomberg.net

To contact the editor responsible for this story: Nasreen Seria at nseria@bloomberg.net


We Almost Lost the Nasdaq
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus