Trading on the Zimbabwe Stock Exchange will resume on Monday, without three companies that have listings on foreign bourses.
Old Mutual, the largest company by market value and two others who are listed on foreign bourses, will not be part of the resumption
Old Mutual and Seed International said in separate e-mailed statements that they would comply with an order issued by finance minister Mthuli Ncube that they suspend trading “pending finalisation of the modalities for their resumption to trade.”
The government wants to transfer the three companies’ listings onto a foreign-currency denominated exchange in the town of Victoria Falls, planned for opening later in 2020.
The three stocks account for a combined 4.9% member weighting in Harare’s main industrial index in Harare.
Old Mutual, the 175-year-old SA insurer, is the largest company by market value.
Source: Bloomberg
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based lawyer who has advised startups across Africa on issues such as startup funding (Venture Capital, Debt financing, private equity, angel investing etc), taxation, strategies, etc. He also has special focus on the protection of business or brands’ intellectual property rights ( such as trademark, patent or design) across Africa and other foreign jurisdictions.
He is well versed on issues of ESG (sustainability), media and entertainment law, corporate finance and governance.
He is also an award-winning writer