SALE OF TELECEL TO PROCEED

picture courtesy of Telecel

 The sale of 40% at stake in Telecel to Brainworks will now proced after  warring Empowerment Corporation share holders agreed to revert to the 1997 shareholding that they had when the company was awarded its initial licence. The news was reported by Finx yesterday afternoon after EC shareholders came to the compromise.

Original shareholding of the Empowerment  Corporation was structured as follows

• James Makamba's Kespel Corporation                          15%
• Leo Mugabe's Intergrated Engineering Group              10%
• Zimbabwe Farmers Union                                             9%
• Jane Mutasa's Indigenous Business Women Org           9%
• Philip Chiyangwa's Affirmative Action Group               9%
• War Veterans Association                                               9%
• Warehoused shares                                                        30%

ICT Minister Supar Mandiwadzira's action last week announcing the cancellation of Telecel's  licence seems to have yielded results especially for those whose positions as legitimate shareholders looked weak.

Interestingly, the US 20 million value of the 40% as offered by Brainworks hasn't changed which suggests of course that the intervention of the government wasn't about the value as claimed, but more, find bringing everyone to the dog's breakfast. The biggest winner, from what we can tell from the events to date at least is Chiyangwa who essentially gets paid for the second time in his shares.

For more info visit www.techzim.com