A FRESH bid to place RioZim under corporate rescue has triggered alarm over the potential threat to workers’ livelihoods and the security of strategic national mining assets, amid fears the move is driven by predatory interests seeking to destabilise the recovering miner.
The latest High Court application has reignited tensions around the diversified mining group, with analysts warning that corporate raiders described as “vulture capitalists” are targeting RioZim at a time it is steadily rebuilding operations and restoring profitability.
The renewed push comes only months after the High Court dismissed a similar application, raising concern over what observers describe as persistent efforts by certain investors to force the company into distress despite visible signs of recovery.
At stake are not only RioZim’s key gold, coal, nickel, copper and chrome assets, but also the livelihoods of thousands of employees and contractors who depend on the company’s operations across the country.
High Court judge Justice Gibson Mandaza recently rejected objections to the board’s resolution, affirming its validity and reinforcing RioZim’s position in resisting attempts to place it under corporate rescue.
“The board resolution meets the basic threshold and is valid,” said Justice Mandaza.
“The first respondent has defended all actions to place it under corporate rescue.”
Analysts say the renewed application appears opportunistic, warning that the company no longer fits the profile of a distressed entity requiring rescue intervention.
“This is a bizarre attempt to target a company that has weathered its downturn,” said one analyst.
“RioZim is marching its way to being a flourishing business that contributes positively to Zimbabwe’s economy.”
The company’s improving fortunes have been reflected in the operational revival at its flagship Renco Mine, which has emerged as a key pillar in RioZim’s recovery.
Following a successful capital-raising exercise, Renco Mine has produced more than 190 kilogrammes of gold, stabilising production and strengthening revenue inflows.
“The restart has safeguarded over 1 200 jobs, ensuring continued livelihoods for families and communities,” said a source familiar with operations.
“Plans to improve production are underway and will soon result in increased output.”
RioZim has also been settling creditor obligations, paying salaries consistently, and preparing to restart operations at CAM & Motor Mine as part of its broader recovery plan.
The sustained strength in global gold prices has further boosted revenue, supporting the miner’s ability to stabilise and expand operations.
Analysts say RioZim’s revival is not accidental but a deliberate and structured turnaround anchored on restoring operational reliability, rebuilding production capacity and safeguarding long-term value for the country.-herald
