Govt willing to sell off Ndola Lime

GOVERNMENT is ready to sell Ndola Lime Company Limited (NLC) to investors with better plans and strategies which can revamp the once-vibrant firm, says Ministry of Mines Permanent Secretary Paul Chanda.

Mr Chanda explained that the company was bankrupt and depending on Government through ZCCM-IH for its sustainability.

NLC reported total revenues for the financial year ended 31st March 2018 of K60.1 million and a loss after tax of K190 million.

Recently, the Economics Association of Zambia advised Government to offload 80 percent of shares to indigenous Zambians as it had remained a burden on ZCCM-IH reserves.

Asked if Government would consider the proposal, Mr Chanda said Government was desirous to sell to an entity with a viable turn-around strategy.

“Definitely, Government through ZCCM-IH has to put in money to sustain it otherwise it could have been closed. So anybody with the best plan and strategy to turn it around, they can be sold.

“Selling it is a very good idea but in the current state, they can describe it as a bankrupt company.

It is not selling, it is not exporting and it is failing to pay workers,” he said.

He was speaking in an interview at the weekend.

Mr Chanda said Government would need to revamp the company before selling it off as liabilities were more than assets.

“For a company to sell its shares and for people to run it and invest in it, it has to show potential, it has to be productive and it has to make profits. If it is not making profits then I do not know who will be attracted to invest in such a company,” Mr Chanda said.

In trying to revamp it, Mr Chanda said, ZCCM-IH would use the proposed cement plant project to buy lime from Ndola Lime.

Mr Chanda explained that ZCCM-IH would use the project to boost sales and the financial muscle for the company.