I am one of the many minority shareholders in RioZim Limited. Like thousands of other Zimbabweans who invested in what was once one of the country’s proudest mining companies, I have watched in despair as our investment has been reduced to almost nothing. Just like all the other listed companies I invested in as part of my retirement. RioZim, formerly associated with the global giant Rio Tinto, used to be a diversified powerhouse with gold mines, Murowa Diamonds, nickel, chrome and the promising Sengwa coal project. Sadly, Most of our mines are on care and maintenance, debts have piled up, auditors are warning that the company may not survive and our share price has collapsed. As at June 2025, the company had negative equity of over ZiG 1.196 billion. We are technically insolvent. I recently received court papers from Makwanya Legal Practice informing me that fellow shareholder Tendai Rwodzi has filed an application (Case No. HCHC282/26) to place RioZim under corporate rescue. I support this move. After years of watching value destruction, this may be our last realistic chance to save the company.
The death of the late Harpal Singh Randhawa and his son in a 2023 plane crash was a heavy blow. The Randhawa family still controls roughly 84% of the company through various entities. While they have every right to their majority stake, the concentrated ownership appears to have come at the expense of good governance and minority shareholder interests. We have seen: • Mines lying idle while opportunities are lost. • Huge unpaid debts to ZIMRA, ZETDC and other creditors. • Alleged disposal of key assets without proper shareholder approval. • Failure to issue timely cautionary statements on major negative events such as the loss of the Sengwa project. • Repeated auditor warnings about the company’s ability to continue as a going concern. As ordinary shareholders, we feel excluded from meaningful decision-making. The Extraordinary General Meeting and the proposed resolutions have only heightened our concerns, especially the related-party transactions that appear to favour certain interests at the expense of the company as a whole.
Fellow shareholders and I are asking: How did a company with such rich mineral assets reach this state? We believe the board of directors and senior management must be held accountable for the decisions that have led RioZim to the brink of collapse. Corporate rescue is not about punishing anyone, it is about giving the company a fighting chance under independent supervision. The appointment of an experienced practitioner like Mr Knowledge Hofisi could bring fresh eyes, restructure the balance sheet, review past transactions, and chart a genuine recovery path. We minority shareholders (over 1,600 of us) are numerically the majority but economically powerless because of the shareholding structure. We therefore call on: • All shareholders to carefully study the court application and the standard notice issued on 12 May 2026. • Creditors and other stakeholders to engage constructively. • The High Court to urgently hear this matter in the interest of preserving jobs and national assets. This is not just about saving one company. RioZim is a national strategic asset. Its revival or failure will send a strong signal about corporate governance and minority shareholder protection in Zimbabwe. We urge the directors to put personal and related-party interests aside and work with all stakeholders for a transparent rescue. If corporate rescue succeeds, it should include a thorough review of past decisions so that lessons are learned and accountability is enforced. Our investment, our jobs, and the future of this once-great Zimbabwean company are at stake. It is time for us, as shareholders, to speak with one voice and demand better.
Engineer Jacob Kudzayi Mutisi +263772278161
