Shares for Hwange workers

HWANGE Colliery Company (HCC) shareholders have given the nod for the company to the increase its authorised share capital by six million as it seeks to moves forward in its quest to consolidate shares.
In a statement to shareholders, HCC said shareholders unanimously agreed "that the author

ised share capital of the company be increased from 180 million shares of a nominal value of 1 cent each to 186 million shares and such shares to rank pari passu in all respects”.
Among other resolutions approved was the placement of the six million shares under the control of directors in accordance with Article 53 of the company’s articles of association and the rules and regulations of the Zimbabwe Stock Exchange, for the sole purpose of the company’s share option scheme.
The latest development comes when HCC is about to award more than 3 000 workers shares following the establishment of a fund to assist them to buy the shares.
This follows an agreement reached between workers’ representatives and management and the number of shares allocated to an employee will depend on the amount deducted from the workers’ salaries towards the share scheme.
Previously, shares were sold to employees who had served the company for a minimum of five years but this had now been extended to all employees.
 The company registered an operating profit of $12,5 billion in 2006, up from $271 million achieved in 2005 while non-current assets went up from $106 million to $14 billion following the acquisition of plant and equipment for both the underground and open cast mines.

Post published in: Economy

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