ZCCM IH Plc (Zambia) – Atlas-Mara US$15 million Corporate Guarantee Transaction
The Board wishes to inform the shareholders and the market that ZCCM Investments Holdings Plc (“ZCCM-IH” or “the Company”), has agreed to provide Corporate Guarantees to Atlas Mara Bank for the amount of USD 15 million (the “Transaction”).
In line with the requirements of Section 9 of the Lusaka Securities Exchange (“LuSE”) Listings Requirements, the key features of the Transaction are as follows:
| Particulars of the Transaction | The provision of USD 15 million Corporate Guarantees Atlas Mara by ZCCM-IH for the provision of a Letter of Credit and Working Capital to Mopani Copper Mines Plc (“MCM”). |
|---|---|
| Guaranteed Amount | USD 15 Million |
| Other significant terms of the Transaction | Provision of USD 15 million Corporate Guarantee to Atlas Mara comprising:
|
| Effective Date | 22 June 2022 |
| Rationale for the Transaction | The support of ZCCM-IH to the operations of MCM is quite critical at this juncture. MCM needs working capital urgently in order to address the following issues:
|