Zambia is Africa’s second-largest copper producer, and news has broken that President Lungu is talking to an Israeli company that wants to buy a stake in state mining investment arm Zambia Consolidated Copper Mines Investment Holdings (ZCCM-IH).
Israel’s Sapir Capital had expressed interest in buying a stake worth more than $100 million in ZCCM-IH, the source close to the negotiations said.
“It’s in the pipeline, but I can’t comment on whether it will happen or not,” the source added.
Officials at Sapir Capital could not be reached.
The state-owned Industrial Development Corporation Ltd (IDC), an investment company wholly owned by the government, is the majority shareholder in ZCCM-IH. About 800 Zambians bought shares in ZCCM-IH during a 2015 sale of shares in the company, the source said.
The company, which holds a minority state in foreign mining firms in Zambia, has more than 4,000 shareholders and its market capitalisation is over $657 million, according to information on its website.