The Copperbelt Energy Corporation Plc (CEC) has offloaded 50 percent shareholding in CEC Liquid Telecommunication Limited to Liquid Telecommunications Holdings Limited.
CEC is the legal and beneficial owner of 50 percent of the allotted and issued share capital of CEC Liquid Telecom.
On completion of the deal Liquid shall procure the release of the CEC guarantee, being the guarantee extended to Stanbic Bank Zambia Limited (as lender and as agent) in relation to a loan facility provided by Stanbic Bank Zambia Limited to CEC Liquid Telecom.
In addition Liquid will pay CEC an initial sum (the ‘initial consideration’) on completion with the balance (the ‘deferred consideration’), being payable by the deferred consideration date (the ‘deferred consideration date’), which date shall be no later than 31 January 2019.
Liquid shall provide CEC with an irrevocable and unconditional Bank Guarantee to support the payment of the Deferred Consideration.
“Completion of the transaction shall be conditional upon and subject to receipt of the relevant regulatory approvals and any other third-party consents that are required,” said CEC in a statement issued this week.