Jan 10, 2018

Odebrecht Divests Stake in Angola’s Sociedade Mineira de Catoca

Odebrecht Mining Service Investments GmbH has divested itself of the 16.4% stake it held in the Angolan company, Sociedade Mineira de Catoca (SMC) or the Catoca Mining Company, media reports based on “an order published in Angola’s official bulletin, Diário da República”, said.

The entire stake was first acquired by Wargan Holdings Limited, in which PJSC ALROSA holds 100% of the stake.

Wargan Holdings, the report said, later sold this stake in equal proportion (8.2% each)  to ALROSA and Endiama, the Angolan state-owned diamond company.

As a result, the two companies – ALROSA and Endiama – now own 41% each of the shares in SMC; while the remaining 18% is held by LL Internacional Holding B.V.

According to the document -- signed by the President of the Republic of Angola, João Lourenço  -- on which the report is based,  Odebrecht Angola wished to divest its stake “in order to concentrate on infrastructure projects”.  

SMC is said to be the fourth largest producer of diamonds in the world, with a share of 86.3% by volume and 60.3% by value, according to the report in Macauhub.