Share Name Share Symbol Market Type Share ISIN Share Description
Zambeef Products Plc LSE:ZAM London Ordinary Share ZM0000000201 ORD ZMW0.01
  Price Change % Change Share Price Shares Traded Last Trade
  -0.50 -7.41% 6.25 189,111 09:14:13
Bid Price Offer Price High Price Low Price Open Price
6.00 6.50 6.75 6.25 6.75
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
Food Producers 174.88 7.17 1.97 3.0 15
Last Trade Time Trade Type Trade Size Trade Price Currency
14:00:18 UT 85,000 6.50 GBX

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Date Time Title Posts
28/4/202207:26Zambeef 2016 : a tasty bullish play ?210
24/3/201612:32ZAMBEEF ::: 1 of 13 for 2013 says Panmure Gordon552
08/1/201313:38ZAMBEEF ::::::::::::::::: A steak in developing Africa220

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Zambeef Products (ZAM) Most Recent Trades

Trade Time Trade Price Trade Size Trade Value Trade Type
2022-05-27 13:00:186.5085,0005,525.00UT
2022-05-27 09:24:126.052,941177.93O
2022-05-27 09:00:176.3530,0001,905.00O
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Zambeef Products (ZAM) Top Chat Posts

Zambeef Products Daily Update: Zambeef Products Plc is listed in the Food Producers sector of the London Stock Exchange with ticker ZAM. The last closing price for Zambeef Products was 6.75p.
Zambeef Products Plc has a 4 week average price of 6.25p and a 12 week average price of 6.25p.
The 1 year high share price is 9.75p while the 1 year low share price is currently 6.25p.
There are currently 247,978,195 shares in issue and the average daily traded volume is 3,424 shares. The market capitalisation of Zambeef Products Plc is £15,498,637.19.
gb904150: Thanks for that clarification cs. That is a bullish development. The concern here for me has always been the preference shares, what will happen with them and whether shareholders will be left with much when the issue is dealt with. The prefs 'debt' is in USD and the ZMW is always inflating vs the USD. It's around $110m in 2022. The repayment date is 2024 and ZAM have no way of paying that. I think it comes down to how responsible CDC want to be with the company. CDC can convert at 3:1 into shares but that would screw over other shareholders. They can do it, but it's not a good look. Any idea what might happen with that? Prior to this Rudlands stake I don't see the rush here. But now the Rudlands family are buying up....they must be aware of some developments that suggests the equity is attractive.
tomboyb: THE MAURITIUS COMMERCIAL BANK LIMITED Has taken a 7.2% stake in ZAM - RNS out -
gb904150: If you owe the bank £1m you have a problem. If you owe the bank £1bn it is the bank who has the problem. Your calcs on the pref shares are very accurate! $97.8m at the anniversary this year. Completion 16/09/2016. 100,057,658 shares @ subscription price $0.555 = $55.532 $0.555 / $55.5m in 2016 $0.6216 / $62.16m in 2017 – 12% $0.6962 / $69.62m in 2018 – 12% $0.7797 / $78.02m in 2019 – 12%. Ideal time to pay off. Min price was always $0.77 $0.873 / $87m in 2020 $0.978 / $97.8m in 2021
gb904150: Are you suggesting that ZAM will never buy them back? The issue is that there is a penalty after the 8th anniversary, which is in 2024: - Holder can convert to ordinary shares at any time on 30 days notice - Before 8th anniversary – 1:1 conversion to ord shares - After 8th anniversary 1:3 conversion to ord shares The pref shares are barely mentioned in reports, but in 2018 annual report the company strategy was clear: the redemption of the preference shares held by CDC is a significant consideration, as although they rank as equity, the redemption value of the shares escalates at an annual compounded rate of 12%, which is significantly higher than the average cost of the Group’s US Dollar debt, which is approximately 7%. The Board is therefore considering, as a priority, various strategic options that would enable the preference shares to be redeemed. What do you think the strategy is to deal with the pref shares? A renegotiation of some sort with CDC?
34adsaddsa: Things aren't so swell for CDC. What good is a 12% compounding "interest" if the resulting number is so large that Zambeef will never redeem the preference shares? They won't get redeemed because they don't have the money to do so and even if they did it wouldn't make sense at this valuation. CDC could keep the preference shares as they are, receiving no interest payments at all but having the option to convert into about 1/2 of the company at a time of their choosing. But do they really want to own an additional 1/2 of this company? What's the exit plan there? At the current share price, it would also mean a big paper loss. They invested about $55M into those preference shares but would only get back ordinary shares worth about $30M. The other option is to reach an agreement to convert the shares into debt. Zambeef's current debt load should be much lower by then. Perhaps I'm wrong but I think they would be much more interested in that option.
catsick: Interesting to see these elections in Zambia are a landslide for the new President who seems to be a decent guy, Has led to a huge surge in the Kwatcha which has appreciated over 25% and removed all last 12 months losses and some extra... This could be the first time in years that fx gives a big boost to the accounts, should be very good indeed for the company as is the high copper price which should make the macro situation in the country very helpful in rescheduling all the countries debts ....
gb904150: I think it's a tiny and illiquid company and takes very little buying to move it. A lot of PI's don't know about the pref shares and the half-year report sounded positive. Perhaps that was enough to move the SP? Was there much volume? They were tipped in Moneyweek a few weeks ago where it was highlighted how 'cheap' they were on a P/E basis - again no mention of the preference shares. ZAM doesn't generate anywhere near enough cash to pay off the pref shares before the 8th anniversary (2024). At that point they can convert at 1:3 into equity rather than 1:1. The optics of that would be very poor for CDC so I doubt they would be quite so ruthless. More likely is some kind of debt refinance but in which case ZAM are entirely at the mercy of CDC as to how generous they want to be. Too much uncertainty for me but perhaps a nice gamble for others. I've always liked the 'feed Africa' ZAM story but unfortunately that doesn't mean they are a good investment! This one has never shown much prospect of being run in the interests of investors.
gb904150: hi dave4545, Be careful with this one. A lot of people don't know about the preference shares that were issued in 2016 and compound at 12% pa. There is still no resolution on that. My calculations make that to be a 'debt' of $97.8m in 2021 but what it really comes down to is whether CDC find a reasonable compromise rather than fully redeeming them and leaving equity holders with (almost) nothing. My notes on that were: Completion 16/09/2016. 100,057,658 shares @ subscription price $0.555 = $55.532 $0.555 / $55.5m in 2016 $0.6216 / $62.16m in 2017 – 12% $0.6962 / $69.62m in 2018 – 12% $0.7797 / $78.02m in 2019 – 12%. Sept 2019. 2019 was best time to pay off. Min price was always $0.77 hence penalty to pay off sooner. $0.873 / $87m in 2020 $0.978 / $97.8m in 2021 Next important is obviously the Zambian Kwacha vs USD rates and finally local Zambian crop and meat prices. Those often do well when copper does well as the country as a whole is richer as a result. Regarding converting the pref shares I had these notes, I think from an old annual report. o Before 8th anniversary – 1:1 conversion to ord shares o After 8th anniversary 1:3 conversion to ord shares
dave4545: Some interesting trades in this one today. Big uncrossing trades and a stack of big trades all at 8.5p full offer And the share is breaking out to highs not seen for a few years. Anybody here, no posts in 2021
grollfam: Rcl Foods Limited - Announcement Of The Exercise Of The Put Options Granted To Rcl Foods Limited By Zambeef Products Plc Release Date: 24/03/2016 12:18:00 Code(s): RCL Announcement of the exercise of the put options granted to RCL Foods Limited by Zambeef Products plc RCL FOODS LIMITED (Incorporated in the Republic of South Africa) (Registration number: 1966/004972/06) ISIN: ZAE000179438 Share Code: RCL ANNOUNCEMENT OF THE EXERCISE OF THE PUT OPTIONS GRANTED TO RCL FOODS LIMITED BY ZAMBEEF PRODUCTS PLC IN RESPECT OF ZAM CHICK LIMITED AND ZAMHATCH LIMITED 1. Background During 2013, RCL Foods Limited (“RCL FOODS”), through its wholly owned subsidiary, Rainbow Farms Investments Proprietary Limited, entered into agreements with Zambeef Products PLC (“Zambeef̶1;) regarding investments in its broiler business, Zam Chick Limited (“Zam Chick”), and a greenfield hatchery investment, Zamhatch Limited (“ZamhatchR21;). RCL FOODS has a 49% interest in Zam Chick and a 51% interest in Zamhatch. Shareholders’ agreements were entered into between RCL FOODS and Zambeef in respect of Zam Chick on 1 February 2013 (“the Zam Chick Shareholders’ Agreement”) and Zamhatch on 29 May 2013 (“the Zamhatch Shareholders’ Agreement”) (collectively, “the Shareholders’ Agreements”). In terms of the Shareholders’ Agreements RCL FOODS, as a standard protection mechanism, was granted put options that would require Zambeef to acquire all of the ordinary shares held by RCL FOODS in Zam Chick (“the Zam Chick Option”) and Zamhatch (“the Zamhatch Option”) (collectively, “the Options”). If the Zam Chick Option is exercised at any time, the value attributable to RCL FOODS’ interest in Zam Chick (49%) will be determined as the higher of the following amounts on the date that the Zam Chick Option is exercised: - 49% of the consolidated earnings before interest, taxation, depreciation and amortisation (“EBITDA”;) of Zam Chick at an exit enterprise value (“EV”) / EBITDA multiple of 7.5 times; or - the original purchase price paid by RCL FOODS to Zambeef for the Zam Chick shares, expressed in US Dollars (“USD”). Currently, RCL Foods has no shareholder loan account claims against Zam Chick. If the Zamhatch Option is exercised within 3 years of the effective date (31 March 2013), the value attributable to RCL FOODS’ interest in Zamhatch (51%) will be determined as the higher of the following amounts on the date that the Zamhatch Option is exercised: - 51% of the consolidated EBITDA of Zamhatch at an exit EV / EBITDA multiple of 7.5 times; or - the invested USD amounts outstanding to RCL FOODS on capital and loan account. Should the Options be exercised, the purchase consideration in respect of the Zam Chick shares and the Zamhatch shares purchased by Zambeef, shall, at Zambeef’s discretion, be payable as follows: - in cash; or - by the transfer by Zambeef to RCL FOODS of Zambeef shares; or - by the issue and allotment by Zambeef to RCL FOODS of newly issued Zambeef shares; or - by a combination of Zambeef shares and cash. The value attributed to the Zambeef shares for purposes of settling the purchase consideration or part thereof in Zambeef shares, will be determined by the Volume Weighted Average Price (“VWAP”) of Zambeef shares as quoted on the AIM Stock Exchange for 30 business days immediately preceding the settlement date. The settlement date shall not be later than six months from the date that the Options are exercised. Zambeef’s market capitalisation as at 23 March 2016 is USD31.9 million (based on an exchange rate of GBP1.00: USD1.4091). In terms of each of the Shareholders’ Agreements, and in respect of each Option, to the extent that Zambeef is unable to effect the total payment for the Option shares in cash, then it shall effect payment by issuing Zambeef shares to RCL FOODS. For this purpose, Zambeef warranted that it would hold available up to 10% of its issued ordinary share capital (in respect of each Option). In accordance with Zambian laws and regulations, certain scenarios relating to the acquisition of the shares by Zambeef may require shareholder approval. In addition, the approval of the Competition and Consumer Protection Commission, the Lusaka Stock Exchange and the Securities and Exchange Commission (“SEC”) will be required in order for Zambeef to implement the acquisition of all of the ordinary shares held by RCL FOODS in Zam Chick and Zamhatch in accordance with the terms of the Options. 2. Exercise of the Options Exercise notices in respect of Zam Chick and Zamhatch were delivered to Zambeef on 23 March 2016, informing Zambeef that the Options have been exercised. This action fixes the Option exercise date and commences the six-month period for purposes of determining the settlement date, in accordance with the terms of the Shareholders’ Agreements. The purchase price owing by Zambeef to RCL FOODS in terms of the Options is as follows: - in respect of Zam Chick – USD 14,250,000.00; and - in respect of Zamhatch – USD 4,000,000.00 capital plus USD 6,159,174.53 of shareholder loans, (collectively, “the Settlement Consideration”). 3. Dispute There is a dispute between RCL FOODS and Zambeef with regard to the computation of the purchase price to be paid for the Zamhatch shares by Zambeef. Zambeef contends that the portion of the purchase price payable by it for the capital contribution by RCL FOODS to Zamhatch should comprise the Zambian Kwacha value of the capital contribution at the time that it was originally paid (in USD) by RCL FOODS. This amounts to ZMW 24,800,000.00. RCL FOODS contends that the amount payable to it ought to be the USD amount originally paid, being USD 4,000,000.00. On the Zambeef version, this results in a reduction in the amount payable to RCL FOODS of approximately USD 1,807,250.22 (based on an exchange rate of USD 1.00: ZMW 11.31 as at 23 March 2016). In addition, Zambeef argues that a portion of the RCL FOODS loan account in Zamhatch was paid in Euros, and ought to be denominated in Euros as opposed to USD. The Euro amount paid by RCL FOODS was Euro 3,301,849.53. Again, RCL FOODS is of the view that this amount should also be denominated in USD as at the date of payment, being USD 4,159,174.53. On the Zambeef version, this results in a reduction in the amount payable to RCL FOODS of approximately USD 466,656.60 (based on an exchange rate of USD1.00: Euro 0.8942 as at 23 March 2016). If the matter is not resolved, RCL FOODS will pursue its contractual remedies in terms of the Shareholders’ Agreements. 4. Rationale for the exercise of the Options RCL FOODS is of the opinion that its interests in Zambeef (indirectly held through Zam Chick and Zamhatch) would be better aligned with the shareholders of Zambeef if RCL FOODS’ indirect investments were to be exchanged for a direct interest in Zambeef, the listed holding company of the Zambeef group of companies. Hence, the RCL FOODS board of directors (“the Board”) took the decision that the Options should be exercised. Zambeef has indicated that the exchange mechanism provided for in the terms of the Options may be considered by some Zambeef shareholders as unduly dilutive for such shareholders. As a result, the Board proposed that, subject to certain considerations, the existing Zambeef shareholders should be given the opportunity of reducing the potential dilution to which they would be exposed if some, or all, of the Settlement Consideration is settled by way of new Zambeef shares. In order to counter any potential dilution, existing Zambeef shareholders will be given the opportunity to buy back a portion of the new Zambeef shares issued to RCL FOODS, by way of a claw-back offer. In terms of the claw-back offer, existing Zambeef shareholders will, in proportion to their respective shareholdings in Zambeef, be able to buy back some of the Zambeef shares received by RCL FOODS. Should the Settlement Consideration result in RCL FOODS holdingmore than 25.1% in Zambeef, it will make available for the claw-back offer, RCL FOODS’ interest above 25.1%. The shares made available by RCL FOODS for purposes of the claw-back offer will be offered to Zambeef shareholders at the same price that such shares have been issued to RCL FOODS, except for any potential costs and taxes associated witrh the claw- back offer, which will be for the account of participating Zambeef shareholders. From an administrative and regulatory point of view, RCL FOODS will issue a circular to all Zambeef shareholders, detailing the termsof the claw-back offer. RCL FOODS will liaise with the management of Zambeef and the SEC in Zambia in this regard. RCL FOODS will also seek a dispensation from the SEC to ensure that, in the event that the Settlement Consideration results in RCL FOODS is holding more than 35% of Zambeef, it will be granted the opportunity to sell down sufficient shares so as not to trigger a mandatory offer to the Zambeef shareholders. 5. General RCL FOODS is aware that Zambeef management has been mandated by its board of directors to actively work towards reducing Zambeef’s current debt position. Over the past few months RCL FOODS has been in discussions with Zambeef management in respect of possible mechanisms to inject capital into Zambeef. The Board is of the view that should RCL FOODS become a shareholder in Zambeef, RCL FOODS would like to continue with these discussions. RCL FOODS is of the opinion that Zambeef is an attractive business that, pursuant to an injection of new capital, could materially improve its overall performance. RCL FOODS thus remains interested in considering opportunities that could lead to a more substantial transaction between RCL FOODS and Zambeef. The transaction referred to above is not subject to JSE Limited (“JSE”) Listings Requirements due to its size being below the JSE category thresholds, and is only subject to a number of non-material conditions precedent. Shareholders are advised that Zambeef is also today publishing an announcement simultaneously on the AIM and Lusaka Stock Exchanges. Durban 24 March 2016 Sponsor RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Zambeef Products share price data is direct from the London Stock Exchange
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