ZANACO says the threat of Government taking the bank has diminished due to passage of time since the Commission of Inquiry into its partial privatisation was set up.
Late President Michael Sata in January 2012 set up a Commission of Inquiry to investigate the partial privatisation of ZANACO but the report into that inquiry has not been made public.
A note from ZANACO issued by the Lusaka Stock Exchange said whilst the possibility of new developments in the future cannot be completely discounted, it seems reasonable that under current market circumstances, the situation can no longer be deemed to be price sensitive, due to passage of time and absence of new information and developments.
“As at close of business on 23 August 2015, the GRZ held 360,937,524 shares, representing 25.00% shareholding in Zanaco, via the Minister of Finance. On 24 August 2015, GRZ transferred to the IDC all its 360,937,524 shares in Zanaco,” it said.
“In compliance with the Lusaka Stock Exchange (“LuSE”) Listing Requirements, shareholders are referred to the cautionary announcement dated 10 November 2015, and first issued on 26 January 2012, regarding the outcome of the Commission of Inquiry (“the Inquiry”) instituted by the Government of the Republic of Zambia (“GRZ”) into the partial privatization of ZANACO that took place in 2007. Shareholders and market investors will have duly noted that a period of four years has now elapsed since the cautionary in regard to the Inquiry was first issued on 26 January 2012.”
It said should the position change and new information come to light, the market and shareholders will be advised accordingly.
“Therefore, the cautionary first issued on 26 January 2012 is hereby withdrawn. Since investment in shares carries risk, shareholders, and the investing public should seek the advice of their broker or professional financial adviser before transacting or dealing in the Company’s securities.