PPC has finally unloaded a piece of land in Zimbabwe that has been a thorn in its side for more than a decade, pocketing $30m (about R530m) from the disposal.
The cement maker said in a Sens announcement on Thursday that its 88%-owned subsidiary, PPC Zimbabwe (PPCZ), has signed a deal to sell the 418ha Arlington Estate in Harare to a local private property developer.
According to the group, the land acquired in 1990 was seized by the state in 2010 during the height of Zimbabwe’s land grabs. After years of wrangling with government officials, PPCZ was handed back the title deed only in late 2024.
“The property has no limestone and no role in our core cement operations, and the cash will be allocated in line with our capital priorities and balance sheet targets,” PPC said.
The buyer is not linked to PPC and plans to turn the site into a mixed-use hub. To wrap up the deal, PPCZ must secure Reserve Bank of Zimbabwe approval to declare a special dividend and repatriate the proceeds to SA.
The buyer must pay the full purchase price within 60 days, with the transfer expected inside 90 days.
In addition, the purchaser has agreed to source all cement for developments on the property from PPC, securing an additional revenue stream for the group, it said.
According to the cement producer, the book value of Arlington Estate was recorded as R37m.
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