Zambian mining firm ZCCM-IH faces constitutional challenge over Mopani deal

Published 07/08/2025, 10:12
Zambian mining firm ZCCM-IH faces constitutional challenge over Mopani deal

LUSAKA - ZCCM Investments Holdings Plc (ZCCM-IH) announced Thursday it has been joined as a party to a Constitutional Court petition challenging the legality of its 2024 transaction with International Resources Holdings (IRH) involving Mopani Copper Mines.

The petition, filed on June 20 by Honorable Miles Bwalya Sampa against the Attorney General, contends that the transaction should have received parliamentary approval under Article 210 of the Constitution of Zambia, according to the company’s statement.

The petitioner argues that since ZCCM-IH is state-controlled and Mopani was wholly owned by ZCCM-IH at the time, the transaction constitutes a disposal of a significant state asset requiring parliamentary oversight.

Among the remedies sought is a declaration that the transaction is unconstitutional, null and void. The petition further claims that structuring the deal as a share subscription does not change its fundamental nature as a disposal of state assets.

ZCCM-IH stated it has contested the petition, maintaining that the Mopani transaction does not fall within the scope of Article 210 of the Constitution of Zambia.

The company has advised shareholders to exercise caution when dealing in its securities until further announcements are made regarding the case.

This marks a continuation of the cautionary notice first issued by ZCCM-IH on June 26, 2025. The company indicated it will provide updates as the legal proceedings progress, in accordance with its disclosure obligations.

The information was disclosed in a regulatory filing based on a press release statement from the company.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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