Letter to the Editor

ZCCM-IH shares beyond ordinary Zambians

Dear sir,
Allow me to give my opinion  about the article your paper carried on your Business page, headlined “ZCCM-IH shares snubbed” and attributed the low response to the challenges facing the global copper mining industry as the sole reason for members of the public snubbing  the floated shares.
While it remains true that the mining industry is facing severe operational challenges which have even culminated in loss of employment by thousands of miners locally and abroad, I wish to say that the  ZCCM-IH should have also stated that the shares were snubbed due to the price of K38 per share at which they were pegged as well as the minimum number of shares (20) expected to be bought by any interested person.
Arithmetically, K38 per 20 shares translates to K760.00 and if one intended to buy 2,000 shares, which I think could be the reasonable minimum shares to make a positive impact on earnings, then such a person needed K76,000.
Such sums of money are not easy to come by for many  ordinary Zambians.
In my view, ZCCM-IH should re-float the 27,961,237 (17.3 %) residual shares to be retained by Government at a more affordable price per share.
The price per share should also be differentiated for the corporate investors and for ordinary members of the public respectively.
That step alone will go a long way to make citizens benefit from the God-given resources of our land.
Kapiri Mposhi

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