Padenga accords 15 percent shares to employees

Padenga Holdings Limited management is upbeat the firm will meet its target cull of 46 000 crocodiles this year

Padenga Holdings Limited management is upbeat the firm will meet its target cull of 46 000 crocodiles this year

Business Reporter
CROCODILE breeder, Padenga Holdings Limited will accord its management and employees 15 percent stake in the company after shareholders approved its share option scheme.

Padenga said that the scheme seeks to economically empower the company’s employees while at the same time enabling the company to meet the requirements of the country’s Indigenisation and Economic Empowerment Act.

At an extra ordinary general meeting held yesterday, shareholders approved two option schemes, for both management and employees, which will identify them with the company while promoting its growth and profitability.

The first share option agreement is the Padenga Management Share Ownership Trust, which will be granted 54 million shares representing 10 percent of the company’s issued share capital.

The other agreement is the Padenga Employee Share Ownership Trust that will be granted 27 million shares, representing 5 percent of the company’s issued share capital.

“The Padenga management share ownership trust and Padenga employee share ownership trust will also closely align with the long term interest of employees with the company,” said Padenga in a circular to shareholders.

Government has used the employee share ownership schemes as well as community share ownership trusts as a way of redistributing wealth among companies, their employees and communities they operate in.

This ensures Zimbabweans benefit from the various economic activities. Share ownership schemes are outlined in the Indigenisation and Economic Empowerment (General) Regulations of 2010 as part of companies’ compliance plans. Meanwhile management is upbeat the firm will meet its target cull of 46 000 crocodiles this year with signs of good quality crop already showing.

Chief executive officer Mr Gary Sharp said the first sales grading of the year was done earlier this month with 2 471 skins being graded. The skins achieved a 97 percent first grade ratio.

“The size and quality of the cull in pens gives us confidence that we will achieve our target cull of 46 000 crocodiles of 34,2 cm belly width average,” said Mr Sharp. Harvesting in its United States unit will commence in July and the operation currently has 22 830 animals on the ground. Of these, 16 182 will be harvested in July and December while 6 646 will be carried forward into 2018 for harvesting as medium sized skins of 32cm average size.

Mr Sharp said an additional 8 000 yearling alligators will be purchased this year for harvesting in 2018 as medium sized skins. Locally, Padenga has 46 235 B15 crocodiles and 51 460 B16 crocodiles on the ground.

“Both crops are doing well in terms of growth. Crocodile numbers are in line with our objective of maintaining annual production at the same volumes in 2018,” said Mr Sharp.

Although Asian markets currently have little interest in crocodile meat, demand for premium quality skins and meat remained strong in especially in Europe. “An EU audit of export approved crocodile facilities has occurred this week with Padenga being one of the only two abattoirs that holds this status,” said Mr Sharp.

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