Asa Resources Group

Asa Resources Group is a mining company based in Johannesburg and London. According to the company's website, it is the first African-owned and African-managed business to be listed in the Resources sector of the London Stock Exchange's Alternative Investment Market. Asa was founded in 1987.

History

2003-2015: Beginning of the company

ASA founded in 2003 by a consortium of businesspeople, including Kalaa Katema Mpinga, David Fish, Tim Wadeson, Oliver Mandishona Chidawu and Douglas Tawanda Munetsi. Then Mwana Africa, in 2003 ASA became the majority shareholder in Bindura Nickel Corporation after acquiring it from Anglo American Corporation. The following year, it acquired the majority share in Freda Rebecca Gold Mine. It is based in the United Kingdom.

China International Mining Group Corporation (CIMGC) became an ASA shareholder in 2012 when it injected $21 million into restarting Bindura Nickel Corporation (BNC). In 2012, ASA injected $23 million into BNC, allowing it to refurbish its Trojan Mine. Between 2003 and 2015, ASA loaned $11 million to Freda Rebecca Gold Mine, with ASA placed under administration in the United Kingdom.

2016-2018

In 2016, it owned 85% of the Freda Rebecca gold mine, based in Zimbabwe.[6] ASA between 2015 and April 2017 was accused of mismanagement due to the dominance of its shareholder China International Group Corporation. In Zimbabwe, there were disputes between Freda Rebecca Gold Mine employees and Asa Resources over salary drops and management changes, with workers giving notice of intention to strike.[7]

In April 2017, ASA chairman and CEO Yat Hoi Nang was fired over allegations of fraud. He had been appointed executive chairman in mid-2015. In July 2017 as well, ASA's shares on the London exchange were suspended, after alleged improper accounting of assets among subsidiaries.

In 2017, a manhunt was triggered by Zimbabwean authorities for two former ASA Resource Group executives, over allegations of fraud. At the time, the former CEO and finance director had been missing for several months.[8] $4.3 million were reported unaccounted for, but the company said operations would continue.[9] It was reported that Asa was facing a hostile takeover by Rich Pro, a Chinese firm allegedly connected to the two missing executives. The Rich Pro bid had been criticised by shareholders for being too low.[8]

In February 2018, 10 firms under ASA Resources Group were "seeking to be placed under provisional judicial management citing viability challenges," including Freda Rebecca Holdings, Hunter’s Road Nickel Mine, Trojan Nickel Mine, BSR Limited, Greenline Enterprises, ASA Services Zimbabwe, Bindura Estates and Mwana Properties. The company delisted in London in March 2018[10] after "delays in fixing a deep cash flow crisis." At the time, David Murangari was head of the board, while Toindepi Muganyi was interim CEO.[10]

In 2018, a number of its mines were struggling with debt, with Freda Rebecca partly attributing the issue to mismanagement by ASA Resource Group.[11] Panaf was bidding to buy ASA Resource Group's assets in January 2018.[12] In December that year, it struck a deal with an unnamed company to sell its stake in BNC.[13]

type	Public limited company
industry	Mining
traded as	aim: ASA (until 2018)‡R1R‡
predecessor	Mwana Africa African Gold
founded	September 27, 1987 in City of London, United Kingdom
hq location city	City of London
hq location country	United Kingdom
website	www.asaresource.co.uk/

Asa Resources Group

History

2003-2015: Beginning of the company

2016-2018

2019-2020

Operations

By country

Companies

External links

References