27th Feb 2008 07:02
Lonrho PLC27 February 2008 27th February 2008 LONRHO PLC ("Lonrho" or the "Company") LONRHO SIGNS AGREEMENT TO DEVELOP A 'NATURAL SPRING' WATER BOTTLING FACILITY IN LUBUMBASHI, DEMOCRATIC REPUBLIC OF CONGO Lonrho plc (AIM: LONR) today announces that Lonrho Springs BVI, its wholly ownedsubsidiary, has signed an agreement whereby Lonrho Springs RDC Sprl will build anew water bottling factory in Lubumbashi in the Democratic Republic of Congo tomeet the growing demand for quality bottled water being created by the economicgrowth in the Katanga region. Lonrho Springs RDC Sprl is a new company, which will be owned 51% as to LonrhoSprings BVI and 49% to Classic Sprl, a local business. The plant will be developed on a natural spring, 25km from Lubumbashi and easilyaccessible by road. It will be the only natural spring water produced in theregion. The new plant will produce 1.3 million ltrs per month and will cost US$5.3 million to develop. Funding for the project will be US$ 1.3 million raisedfrom local banks and each of the equity partners in the project will invest US$2 million. Lubumbashi is experiencing significant economic growth as a result of theforeign direct investment of an estimated US$ 12 billion into the region for thedevelopment of copper and cobalt mines. Lonrho Springs BVI is the holding company for Lonrho's water interests. LonrhoSprings is operating or developing water bottling plants in Kinshasa in the DRC;Luanda in Angola; Johannesburg in South Africa and Maputo in Mozambique.Lubumbashi in the DRC is the latest project in the roll out of Lonrho Springswater bottling plants across the continent. The natural spring water will be marketed in conjunction with TP Mazembe, (ToutPuissant Mazembe) the highly successful Lubumbashi football team, in an effortto promote fitness, sport and well being. David Lenigas, Executive Chairman of Lonrho stated: "I am delighted to announce this agreement to develop another Lonrho Springswater bottling plant in Africa. Safe and clean drinking water, at economical andaffordable prices, is a key consideration as Africa continues to enjoysignificant economic growth. Lubumbashi is an exciting market; the stability in the region has generatedconsistent and sustained economic improvement and it is clear that Lubumbashi isdeveloping into a centre of trade and commerce driven by its immense naturalresources. This in turn generates an ideal opportunity for the development ofnew projects such as this Lonrho Springs water bottling facility. This is anexciting addition to the Lonrho portfolio and helps to significantly strengthenthe growth prospects of Lonrho Springs." ENQUIRIES Lonrho Plc +44 (0)20 7016 5105David Lenigas, Executive Chairman +44 (0)7881 825 378Geoffrey White, Chief Executive Officer +44 (0)7717 307 308Emma Priestley, Executive Director +44 (0)7867 785 177 Pelham PRCharles Vivian +44 (0) 20 7743 6672 +44 (0) 7977 297903James MacFarlane +44 (0) 20 7743 6375 +44 (0) 7841 672 831 Collins Stewart Europe : NOMAD to LonrhoHugh Field / Jonny Sloan +44 (0) 20 7523 8350 NOTES TO EDITORS About LONRHO: Lonrho Plc is an expanding conglomerate that is rapidly growing a successfulbusiness throughout Africa. The Company is listed on the London AIM stockexchange (LONR). Lonrho is strategically focused on the development of businessopportunities in infrastructure, transportation, support services and naturalresources. The Company has over 20,000 shareholders and substantialinstitutional backing to support its mandate to build a profitable business thatplays a fundamental role in the development of the African economy. Since 2006, the Company has invested in or acquired control of: • Hotel Cardoso - www.hotelcardoso.co.mz • Lonrho Mining - www.lonrhomining.com • Luba Freeport - www.lubafreeport.com • Fly540 - www.fly540.com • Norse Air - www.norseair.co.za • Swissta Holdings - www.swissta.com • SA Independent Liner Services - www.saliners.com • Bytes and Pieces • Kwikbuild - www.kwikbuild.co.za This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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