PHILLIMON MHLANGA
ASA Resources Group has finally disposed of its entire 74,73% shareholding in Bindura Nickel Corporation (BNC) to a Zimbabwean based mining concern.
BNC board chairman, Muchadeyi Masunda, revealed the latest development. But, he did not reveal the identity of the company that snapped ASA Resources’ shareholdings saying it will be unveiled soon.
Business Times, however, can report that the company, which has interests in the mining and production of ferrous metals, non-ferrous metals and precious metals, is finalising regulatory procedures. Asa is currently under receivership.
“I am pleased to announce that after several cautionary announcements concerning the numerous efforts by the joint administrators of Asa Resources Group to dispose Asa’s shareholding of 74,73% in the company, a sale and purchase was finally concluded. The new shareholders are going through all the necessary regulatory procedures, after which a final announcement will be made soon,” Masunda said.
In its financial results for the six months to September 30,2019, revenue rose by 8% to US$28,3 million during the period under review from US$$26,2 million in the comparative period in 2018.
Operating profit for the company was US$$9,3 million from US$3,6 million, reflecting a 158% increase. Profit after tax was US$6,6 million, up 136%, from US$2,8 million reported in same period last year.
Total assets grew 9% to US$108 million in the reviewed period from US$99 million in the comparative period in prior year.
