·         Public Notice: ZSE

·         Board Changes: Khayah Cement; StarAfrica

·         Delay in Financial Results: Masimba

·         Financial Results: Bridgefort Capital

Harare - Public Notice: ZSE

The Zimbabwe Stock Exchange (ZSE) Limited Depository announced a change in functional currency on the ZSE, which will be implemented effective 08 April 2024 in light of the new structured currency (ZiG). This follows the pronouncement of the 2024 Monetary Policy Statement on Friday, 05 April 2024. According to the notice, all outstanding ZWL settlements as at 05 April 2024 will now be settled in ZiG, converted at the initial conversion rate of ZiG1 to ZWL2,498.7242. These include settlements for transactions executed on the 3rd, the 4th and the 5th of April 2024.

The ZSE Limited Depository also issued a notice pertaining to trading adjustments on the ZSE market effective 08 April 2024 following the pronouncement of the 2024 Monetary Policy Statement and the introduction of a new currency, ZiG, which replaced the ZWL. According to the notice, opening share prices on ZSE on the 8th of April will be denominated in ZiG, converted at an exchange rate of ZiG1 to ZWL2,498.7242 which is prescribed in the operational manual for structured currency issued by the RBZ on 5 April 2024. The prices, however, will be expressed in ZiG cents for ease of reference. Meanwhile, all the ZSE indices (main and sectoral) will be rebased to 100 basis points on the 8th of April to allow the indices to accurately reflect the performance of the market in the context of the new currency.

Board Changes: Khayah Cement; StarAfrica

The Board of Directors of Khayah Cement Limited announced the appointment of Mr. Chengetai Bernard Mudzimuirema as Chief Finance Officer and member of the Board of Directors effective 01 April 2024. The Board also announced the expiration of term of directorship for Mr. Willcort Dzuda as Director and Chief Finance Officer as at the 31st of March 2024.

StarAfrica Corporation Limited announced the retirement of Engineer Robson Nyabadza from his position as Chief Executive Officer, effective 31 March 2024, after having served the Company for 7-years and 9-months. Following this retirement, Mr. Formai Mashame Myambuki, former Finance Director for the Company, was appointed as Acting Chief Executive Officer, effective 01 April 2024. Furthermore, Mr. Dzinganayi Maworera then took over the role of Finance Director and Company secretary effective 01 April 2024.

Delay in Financial Results: Masimba

Masimba Holdings Limited applied for an extension of the publication of its financial results for the year ended 31 December 2023, which was granted by the ZSE to Tuesday 30 April 2024. The delay was necessitated by technical issues, according to the Company.

Financial Results: Bridgefort Capital

In the year ended 31 December 2023, Bridgefort Capital Limited reported a -2% decline in sales in US$ terms in the MedTech division under the Class A Portfolio – Consumer Goods. The Class A portfolio primarily includes 50.1% of MedTech Distribution (Private) Limited (formerly Zvemvura Trading) and Chicago Cosmetics (Private) Limited, a 51% subsidiary of MedTech Distribution, jointly referred to as MedTech. Due to a reduction in higher margin distribution sales and an increase in manufactured products at a lower margin, the Company suffered a 16% decline in gross profit in US$ terms. Furthermore, MedTech succumbed to a net loss of a circa US$260,000 with US$130,000 of this being attributable to the Class A Portfolio. The Company alluded that its Chicago Cosmetics business made a mild profit whilst the distribution business suffered from exchange losses on ZWL balances after failing to adequately hedge ZWL debtors. Notably, the Company received a payment of US$170,000 from the Central Bank for legacy debts during the period under review. However, a total of US$60,000 purchased through the auction market in the prior year was not repaid at the reporting date. Under the Class B Portfolio, which comprises an effective 50.1% of the land registered in the name of MedTech Distribution which was last valued at USD200,000 for 100%, the land has been for sale for a prolonged period than projected and a sale was concluded after year end, giving a net realisation attributable to the Class B Portfolio of about USD120,000 after costs.

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