Zimbabwe's biggest platinum miner says local listing won't work
Impala Platinum Holdings said Zimbabwe’s plan to compel mining companies to list the majority of their shares on the local exchange isn’t feasible and would impede operators’ ability to grow and invest in their assets.
Lawmakers in the southern African nation are debating the measure as part of a bill that will also direct companies to use at least 85 percent of the funds raised from a Zimbabwean listing to develop their local rights. Platinum and diamonds are key exports for an economy that has halved in size since 2000 after a chaotic and violent land-reform program under former ruler Robert Mugabe.
“A local primary listing would only be feasible with the requisite in-country capacity to raise the required capital and sustain daily trading volumes in the equity,” Johan Theron, a spokesman for Johannesburg-based Impala, whose Zimplats unit is the country’s biggest platinum producer, said by email on Wednesday. “We believe much work still needs to be done before the economy can structurally support this.”
LITTLE INTEREST
Zimplats, which is listed on the Australian Securities Exchange, is seeing little interest from Zimbabwean entities even though investors in the country can already freely trade in the shares, “a clear sign” that a local listing is not viable at the moment, he said.
Impala would consider other options for local investors to participate in Zimplats and is still working to implement a community and employee share ownership plan, with each group holding 10 percent in the company, Theron said.
Comments
Research Reports
Projects
Latest News
Showroom
ISO-certified Condra manufactures overhead cranes, portal cranes, cantilever cranes and crane components: hoists, drives, end-carriages, brakes and...
VISIT SHOWROOM
Education: Consulting with member companies to obtain the optimal benefits from their B-BBEE spending, skills resources as well as B-BBEE points
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
