KMH restructures, adopts new model
BY KUDAKWASHE CHIBVURI
Kuvimba Mining House (KMH) has restructured and adopted a new model to create a streamlined efficient ownership system in what the firm described as a strategic shift meant to unlock value.
The mining giant, under the Mutapa Investment Fund (MIF), says its new model will see various of its executives leading different clusters in organizing assets into distinct verticals.
MIF Chief Investment Officer, Simbarashe Chinyemba, told journalist during a media briefing held by KMH in Harare on Thursday that the new model is in line with global trends and reflects how the world’s leading mining houses organize themselves to be effective, accountable, and aligned with long-term shareholder outcomes.
“We are unveiling a comprehensive restructuring that transitions us from a broad holding model to specialized commodity-specific verticals,” Chinyemba said.
“Previously, our minerals were owned through a spiderweb of various entities that were under Mutapa specifically, including the mining house and other minority holdings. We are rationalizing this structure to create a more streamlined and efficient ownership model,” he added.
Chinyemba was flanked by Trevor Barnard, Chief Executive Officer (CEO) for Mutapa Gold, Munashe Shava, CEO for Mutapa Platinum and Innocent Rukweza, representing Mutapa Energy.
“We are adopting a best-in-class global architecture, organizing our assets into distinct verticals, such as gold, precious group metals, energy, which will include lithium and nickel and other energy minerals, as well as base metals,” Chinyemba said.
He said the decision follows a rigorous diagnostic assessment where the team appraised the governance, financial performance and operational efficiency of the entire cluster.
“Diversified conglomerates often suffer from a conglomerate discount where value is lost due to a diminutive focus. By moving to these commodity-specific vehicles, or verticals as we call them, we are removing administrative layers and ensuring that our technical expertise is laser-focused on the unique fundamentals of each mineral. The technical and economic drivers of gold mining differ vastly from those of lithium or coal or, in a lot of cases, many other types of minerals.”
Chinyemba added: “This new structure allows us to calibrate capital allocation and technical oversight to the specific cycles of each commodity. It flattens our hierarchy, allowing for faster decision-making in response to market volatility. We are looking at industry precedents for value creation.”
“This restructuring is the foundation of our 2026 FIRE strategy, which is to fix, revive, strengthen, and extract value from our entities. It allows us to identify crown jewel assets for scaling while isolating risks. While this process is subject to applicable regulatory approvals, our goal remains the preservation and growth of the national wealth.
“Clarity of purpose is our most important tool. This structure ensures our mining portfolio remains a resilient and efficient engine for Zimbabwe’s economic development,” Chinyemba said.
