- ZPI officially off the ZSE effective 10 November
- Remaining 2.4% stake in the hands of minority shareholders no longer tradable
Harare – Real estate holding company, Zimbabwe Property Investments Limited (ZPI) has voluntarily delisted from the Zimbabwe Stock Exchange (ZSE) with effect from the 10th of November 2020.
This comes after an offer by ZPI’s parent company Zimre Holdings Limited (ZHL) to minority shareholders to acquire their shares in exchange for newly issued shares in ZHL which led to the parent holding 97,6% of the total shares in ZPI from 64,28% held before the acquisition.
Subsequently, ZPI applied for voluntary termination of its listing on the ZSE pursuant to section 11 of the Listing requirements as the company no longer met the minimum free-float for a listed company defined in section 87(d) of the ZSE’s Listings Requirements.
In terms of Section 15 (d) of the ZSE Listing Requirements, holders of the remaining 2.4% ZPI securities can no longer trade them on the ZSE with effect from 10 November 2020.
According to the Group, the acquisition is expected to advance the interests of both current ZHL and ZPI minority shareholders offered the new shares through the pursuit of innovative and community changing developments.
It is also a cost management strategy seeking to streamline costs associated with listed entities and enhance the flow of cash to shareholders of the business as well as elimination of duplication costs which include governance costs associated with listing both the Parent and Subsidiary such as annual listing fees and annual report publication fees, among others.
Equity Axis News.