- Share price declines 14.48%
- Roof top accident at plant preceded the fall
- ZSE halts bull run
- Harare - Cement maker, Lafarge Zimbabwe’s share price declined in yesterday’s trade by 14.48%, the highest decline compared to the previous week’s dip of 0.66%. With such a decline, the counter emerged the worst performer on Zimbabwe Stock Exchange (ZSE) to close at $96.0000
Lafarge on Friday last week reported that one of its cement mills had been destroyed after a roof-top collapse accident. The counter has been sailing stable since the beginning of the month.
In a cautionary statement, the Company indicated that the incident is likely to weigh on its business performance for the last quarter of 2021 as it is now forced to divert funds on the mill repair.
Meanwhile, the local bourse, also ended the previous weeks’ positive momentum as it closed the session in reds.
ZSE dipped by 244.96 points, which are equivalent to 2.02% to close in the negative territory at 11,852.40 points as hedge seeking continues amid rapid currency depreciation against the US Dollar, with companies afraid of a possible economic decay.
Losses were spun across all indices with the blue-chip companies leading the race at 2.04% and 2.11% respectively.
Diversified insurance holding group, Zimre Holdings Limited trailed Lafarge on tumbling by 8.16% to close at $3.6351. The Group’s shares saw a decline after Zimre posted both a loss of total income and assets by 32% and 0.7% respectively in its financials for the six months ended to June 2021.
The Group, attributed the losses to 123% drop in fair value adjustments on investment properties and loss incurred in the half-year.
Plastics products manufacturer, Proplastics shrinked by 7.69% to settle at $30.0000 while SeedCo retreated by 6.84% to end at $124.9333.
Telecoms giant, Econet Wireless Zimbabwe dropped by 6.59% to $81.4948 capping the top five laggards. Econet Wireless is currently embarking on a network expansion programme that will add 130 new sites and upgrades its existing base stations, widening its coverage across the country.
On the upside was the largest bank by assets, CBZ Holdings which edged up 17.29% to $123.6111 followed by clothing giant, Truworths which gained 11.06% to $2.8627.
Other gains were propelled by the financial stock, NMB Limited which increased by 4.40% to settle at $12.7267, with Ariston Holdings sailing firmer at 2.99% to $3.6938.
Mahonaland Holdings capped the top five risers on buoying 1.56% to $50.7778.
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