LAFARGE ZAMBIA SELLS 14P.C. MBEYA CEMENT SHARES
LAFARGE Zambia Plc has reached an agreement with Pan African Cement Limited to dispose of 14 percent shareholding in Mbeya
Cement Limited in Tanzania for K26.221 million.
According to a notice of advice to the shareholders and the market participants, Lafarge would dispose of 14 per cent shareholding Mbeya in Tanzania to Pan African, the majority shareholders in Lafarge, for consideration of K26.221 million.
As at May 14, this year the market value of Lafarge Zambia was K660 million, according to the notice of advice posted on the Lusaka Securities Exchange (LuSE).
Accordingly, the percentage ratio of the consideration K26.2 to the market capitalisation of Lafarge Zambia was four per cent.
It stated that the 14 per cent stake was acquired in 1998 for consideration of over K4.7 billion.
However, since the acquisition,
THE Zambia Revenue Authority (ZRA) last Friday held a successful stakeholder engagement meeting with the Clearing Agents’ Associations.
During a meeting held at the Neelkanth Sarova Premiere Hotel in Lusaka and officially opened by ZRA Commissioner General Dr Kingsley Chanda and Attended by the Zambia Freight Forwarders Association (ZAFFA) Chairperson Mr Emmanuel Mutale, Zambia Customs and Forwarding Agents Association (ZCFAA) Chairperson Mr. John Mumba, The Southern Freight Forwarders Association of Zambia chairperson Mr Best Chikuwe and other stakeholders from government, transporters Association and Trade Facilitation Consultants.
The Meeting Appreciated and recommended the Associations and Customs Clearing Companies that did not participate in the illegal protest against the introduction of the Clearing Agents Module by the Zambia Revenue Authority.
The meeting further agreed to dialogue as means of resolving matters affecting the industry and take interest in the modernization programs that the government is implementing including the new tax online customs system being developed to replace ASYCUDA World.
Kazungula One Stop Border Post (OSBP) was another key issue that was discussed to resolve the operational teething issues arising from the change from ordinary
Lafarge has not received any dividends but the value of the investment has increased.
Accordingly, the Board proposed the disposal in order to realise the capital gains.
“Shareholders are advised to exercise caution when dealing in the company’s securities until completion of the transaction which is expected on May 24, 2021,” it stated.
With time decay, the amalgamation, Merger and Acquisition (M&A) transaction between Banc ABC and Finance Bank is evidently paying off.
Typical of mergers, costs in the previous periods were elevated but have started to ebb to optimal levels which is giving profitability a positive cue.
Atlas Mara marginally contained its non- interest expenses after a 6.5 percent growth despite pandemic times that ideally would be expected to drive spend while interest expenses sagged 3.3 percent.
This is according to the 2021 first quarter results analysed by the Kwacha Arbitrageur magazine. “These lean expense lines allowed for a wider earnings margin which in tandem with 205.0 percent growth in total headline earnings, rallied the banks bottom line to
K116.5 million compared to K1.6 million a year ago,” the magazine said.
The magazine indicated that income continued to be supported by credit extension (as the advances book expanded by 43.0 percent) and interest rate trading in government securities.
According to the magazine, interest rate trading in government Chanda securities pushed interest income 48.0 percent higher as the
70.0 percent growth in non-interest income was driven by forex exchange trading and fee collections.
“Atlas Mara continues to disrupt the traditional earnings score board while leveraging off strong partnerships in its ever evolving ecosystem. “Investment in technology as an enabler is one area the bank has placed immense importance as it seeks to offer transaction solutions to its clientele especially in pandemic times,” the magazine said.
Atlas Mara Zambia’s performance over the last one year has seen increased profitability momentum under James Koni’s leadership who is the Mangaing Director.