Harare — MANAGEMENT and workers of Schweppes Zimbabwe Limited are now majority shareholders of the company following the successful transfer of shares to them yesterday.

The transaction concludes one of the major empowerment deals initiated towards the end of last year.

The other partner in the deal is Delta Corporation, which holds 49 percent in the cordials manufacturing company.

The deal had been awaiting regulatory approval of the Reserve Bank of Zimbabwe of the transaction, which has since been granted.

Schweppes was wholly owned by The Coca-Cola Company, which entered into an agreement that gave the management and workers a majority stake in the company.

The transaction was carried out through Whaterton Investments, an investment vehicle that was formed with the management holding 60 percent and the workers 40 percent.

A Deed of Trust called Schweppes Zimbabwe Employee Share Trust to hold the employees' shares was registered.

The Schweppes empowerment deal was approved by the Ministry of Youth Development, Indigenisation and Economic Empowerment and has largely been viewed as a milestone in empowering Zimbabweans.

Delta Corporation company secretary Mr Alex Makamure yesterday confirmed that the shares had been transferred and his company had since seconded three executives to serve on the new board of directors.

Besides himself, the other nominees to the board are operations director Mr Etherton Mpisaunga and group treasurer Mr Matts Vallela.

Mr Makamure said Delta was only coming into the business as an investor and would not be directly involved in the operations of the firm. Workers at Schweppes have been following the unfolding events at the firm closely since moves to transfer the shares to them began last year.

The company's managing director Mr Charles Msipa yesterday told Herald Business that since all the approvals were now in place, they would proceed to appoint four other directors to the board and an independent chairman.

Mr Msipa said The Coca-Cola Company would continue to own its trademarks that will be used by Schweppes to bottle and distribute its beverages. Through this transaction, Whaterton will own 51 percent of the bottling business and not the trade-marks.

Under a bottlers agreement, Schweppes is obligated to promote, develop and fully satisfy demand for Mazoe, Schweppes Water and Ripe 'N' Ready brands within Zimbabwe

The Schweppes deal has, however, not been without its controversies with recently de-specified businessman Mr Mutumwa Mawere claiming ownership of the company through Africa Resources Limited.

The Supreme Court is expected to make a ruling anytime after it in- definitely adjourned the case last year.