The CEO of the Zimbabwe Stock Exchange (ZSE), Justin Bgoni, has stated that companies listed on the exchange can choose to prepare their financial statements in US dollars. This is due to the US dollar’s prominent role in the country’s economy. However, such a switch would require approval from the directors and shareholders of the companies. Justin Bgoni said:
<blockquote>
It’s a multi-currency environment, so they can report in US dollars.
</blockquote>
Recently, Zimbabwe <a href="https://www.pindula.co.zw/2023/10/27/zimbabwe-has-allowed-the-use-of-foreign-currency-until-2030/">extended the use of the US dollar as legal tender until 2030</a>. The authorities believe that this move will provide policy certainty to the market, which has been disrupted by changes to currency regulations in the past. The <a href="https://www.pindula.co.zw/2019/06/24/breaking-rbz-si-142-bans-use-of-all-foreign-currencies-with-effect-from-24-june-2019/">Zimbabwe dollar was reintroduced in 2019</a> after a decade-long hiatus, but bouts of instability have meant that most citizens try to avoid using it for payments.
Companies in Zimbabwe have had to grapple with a volatile exchange rate and a widening gap between the official and parallel market value of the currency.<a href="https://www.pindula.co.zw/2023/11/07/zimbabwe-dollar-official-rate-moves-to-5-738-per-us1/"> The Zimbabwe dollar has weakened by 89%</a> against the US dollar on the official market so far this year. As a result, many companies listed on the Zimbabwe Stock Exchange (ZSE) are opting to switch to reporting their financial statements in US dollars.
For instance, Proplastics recently reported its half-year results in US dollars, while Delta, the country’s biggest beverage company, announced during a recent analyst briefing that it is considering switching to US dollar results for its full-year report. Delta highlighted that more than 80% of its revenue is in US dollars.
Other companies, such as property company Masholand Holdings and Dairibord, the country’s largest dairy producer, have already presented their most recent trading updates in US dollars, according to <a href="https://newzwire.live/zse-says-listed-companies-are-free-to-report-results-in-usd/">newZWire</a>. Dairibord stated that 93% of its sales in the quarter ending in September were in USD, a significant increase from the average of 39% in the first half of the previous year. This shift to reporting in US dollars is seen as a response to the instability and uncertainty surrounding the Zimbabwe dollar.
Given the prevalence of the US dollar in the economy and the benefits of using a stable and widely accepted currency, companies are finding it more prudent to report in US dollars. It not only provides transparency and consistency but also helps them navigate the challenges posed by the fluctuating exchange rate.
According to Imara Asset Management, using US dollars for company earnings will provide investors with a clearer understanding of true profitability. The brokerage, which oversees more than US$100 million, believes that reporting in Zimbabwe dollars can hide financial issues and give a misleading impression of profitability. 
Furthermore, the Reserve Bank of Zimbabwe reports that nearly all bank loans, approximately 94%, are now in USD. This shift occurred as authorities aimed to limit the circulation of Zimbabwe dollars in order to control inflation. The increased use of the US dollar for sales, loans, and financial reporting reflects the preference for a more stable and widely accepted currency in Zimbabwe’s business environment.
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Pindula News

Zimbabwe Stock Exchange Companies Allowed To Prepare Financial Statements In US dollars

Listed companies Econet Wireless Zimbabwe (Econet) and EcoCash Holdings (EcoCash) have received approval from the central bank to conduct rights offers in United States dollars. Rights offers are a corporate action where existing shareholders are given the opportunity to purchase additional shares at a discounted price. It allows companies to raise capital from their current investors, who have the right to buy new shares before they are offered to the public.
Through these rights offers, Econet and EcoCah aim to raise $30.3 million each from their existing shareholders. The companies were unable to obtain foreign currency through the Reserve Bank of Zimbabwe’s auction process to redeem their debentures (long-term loans), which matured in April 2023. As a result, they sought exchange control approvals to proceed with the rights offers.
In separate statements on Tuesday, the companies stated that the ultimate Zimdollar price for the shares would be determined when they receive foreign currency on the interbank market to redeem the debentures, following the country’s exchange control laws. Econet said:
<blockquote>
Members are hereby advised that the company has now obtained exchange control approval for the rights offer to be made in United States dollars.
</blockquote>
The companies said the final price of the shares will be determined when the companies receive foreign currency on the interbank market to redeem the debentures. Shareholders registered as of September 1, 2023, will have the option to exercise their rights using the local currency. A deposit will be required for each share, with the remaining balance to be paid once foreign currency has been secured. The applicable exchange rate will be the prevailing interbank rate plus a 10% margin.
The rights offer is scheduled to open on September 11, 2023, and close on September 29, 2023, with the results expected to be announced on October 6, 2023. The debentures stem from a capital raise exercise in 2017, which aimed to secure foreign currency for external loan repayments.
This approval allows Econet and EcoCash to proceed with their rights offers in an effort to raise the necessary funds from existing shareholders. It provides them with an alternative means to obtain foreign currency, as they were unable to access it through the Reserve Bank of Zimbabwe’s auction process.
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Econet And EcoCash Received Central Bank Approval For US Dollar Rights Offers

Zimbabwean businessman John Moxon has lost $148 million over a period of 71 days as the value of his ownership stake in Meikles Limited, a diversified conglomerate headquartered in Harare, continues to decline.
Recent data compiled by Billionaires.Africa reveals that the losses incurred by John Moxon are primarily due to a sustained decrease in the company’s share price.
Moxon, a prominent figure in the Zimbabwe Stock Exchange and a key contributor to the growth of Meikles Limited, possesses a 10.8% ownership stake in the company. This stake consists of 27,933,226 shares, which have witnessed a substantial decline in market value from ZWL67.04 billion ($208.23 million) on June 12 to ZWL19.28 billion ($59.88 million) on August 22. Consequently, this represents a significant loss of ZWL47.76 billion ($148.3 million) for the Zimbabwean billionaire within the past 71 days.
Originally established in 1894 as a department store chain by Thomas Moxon, Meikles Limited has evolved into a diversified conglomerate with substantial interests in hospitality, retail, supermarkets, agriculture, and financial services.
However, the recent struggles faced by the company are evident in its stock performance on the Zimbabwe Stock Exchange. The share price of Meikles has experienced a sharp decline of 71.24% since June 12, dropping from R2,400.0 ($7.454) to ZWL690.18 ($2.144) per share on 22 August.
This significant depreciation in the stock price has also resulted in a considerable reduction in Meikles’ overall market capitalization, which currently stands at ZWL178.07 billion ($553.08 million), reflecting a substantial contraction over the past 71 days.
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Zimbabwean Businessman John Moxon Lost $148 Million In 71 Days

The <a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange/">Zimbabwe Stock Exchange (ZSE)</a> has temporarily suspended the membership rights of three securities dealers and one firm, pending a hearing on alleged misconduct. The affected members are prohibited from acting as securities dealers or in any other capacity exercised by duly admitted members of the Zimbabwe Stock Exchange.
Full details of the alleged violations have been formally communicated to the affected members. In a notice on Wednesday, ZSE said:
<blockquote>
Notice is hereby given to the Investing Public, Securities Intermediaries, and all other stakeholders that the Zimbabwe Stock Exchange Limited (“ZSE”) has provisionally suspended the membership rights of EFE Securities (Private) Limited, Mr Edgeton Tsanga, Ms Brenda Mwaturura (and ) Ms Coreen Madanha.
The effect thereof is that the affected members are barred from acting as securities’ dealers or any other capacities that can be exercised by duly admitted members of the Zimbabwe Stock Exchange pending a hearing into their alleged conduct that was detrimental to the integrity of the market.
</blockquote>
EFE Securities and its authorized representatives must ensure that all trades executed before the provisional suspension are cleared and settled according to the rules of the exchange and the relevant central securities depositories.
The ZSE has stated that the provisional suspension is effective immediately. The market will be informed of any further developments regarding the matter in due course. The move is intended to maintain market integrity and ensure that all members of the Zimbabwe Stock Exchange comply with the rules and regulations governing their activities.
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ZSE Suspends One Firm, Three Securities Dealers Over Misconduct Allegations

Zimplow Holdings, a company that makes and distributes agricultural equipment, is delisting from the Zimbabwe Stock Exchange (ZSE) after losing US$60 million in value. This loss was caused by the depreciation of the Zimbabwe dollar compared to the US dollar, which resulted in Zimplow’s market capitalisation dropping by 88.67% from its 2021 valuation. Since its reintroduction in 2019, the Zimbabwean dollar has been experiencing a significant depreciation.
Zimplow announced its delisting from the ZSE, and other companies have also delisted and moved to the Victoria Falls Stock Exchange (VFEX), such as Bindura Nickel Corporation, National Foods Limited, Simbisa Brands, and others. Zimplow said:
<blockquote>
The directors of Zimplow Holdings Limited (the company) wish to advise all shareholders and the investing public that the board has approved the delisting of the company from the Zimbabwe Stock Exchange, immediately followed by its listing on the Victoria Falls Stock Exchange. Further details of the transaction will be provided to shareholders once all regulatory processes have been finalised.
</blockquote>
Zimplow has joined other companies in seeking a listing on the VFEX to protect the value of their shares that were depreciating on the Zimbabwe Stock Exchange (ZSE) due to the falling Zimbabwean dollar.
Zimplow’s loss in value caused a transporter, Unifreight Africa Limited, to report losses in its Zimplow shares. Zimplow’s last trading update indicated that value preservation was a top priority, and the company planned to focus on exporting through its subsidiaries Barzem, CT Bolts, and Powermac. The challenging trading environment continued to put pressure on customers, who were prioritizing value preservation over expansion.
Zimplow also stated that the upcoming rainy season would increase demand for their products and services in the agriculture cluster. The company also expects growth in their logistics, automotive, mining, and infrastructure clusters due to national strategic development and output growth in the mining sector. Value preservation, volume growth, and cost efficiency remain top priorities for the company.
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Zimplow Delisting From ZSE After Losing US$60 Million In Value

Several ZSE-listed companies from diverse sectors of the economy have declared significant profits during the ongoing reporting period.
The companies are in the process of paying dividends – a payment made by a corporation to its shareholders, usually as a distribution of profits.
When a corporation earns a profit or surplus, the corporation can re-invest the profit in the business and pay a proportion of the profit as a dividend to shareholders.
<a href="https://www.pindula.co.zw/Rainbow_Tourism_Group">Rainbow Tourism Group (RTG)</a>, one of the companies listed on the Zimbabwe Stock Exchange (ZSE), declared a final dividend of ZW$500 million out of which US$250 000 will be paid in foreign currency and the balance in local currency. In its financial statement for the period ended 31 December, the hospitality group said:
<blockquote>
The declared amount will bring the total dividend to shareholders for the year to ZW$880 million (equivalent to US$1.5 million), of which US$500 000 is in foreign currency.
</blockquote>
<a href="https://www.pindula.co.zw/First_Mutual_Holdings_Limited">First Mutual Holdings</a> board resolved that the final dividend of $280.2 million (which is made up of ZW$146.3 million and US$146 344) be declared from the profits of the company. This is in addition to the US$109 758 and ZWL73.2 million paid as an interim dividend.
<a href="https://www.pindula.co.zw/Mashonaland_Holdings_Limited">Mashonaland Holdings</a> saw an annual inflation-adjusted profit of $17.2 billion, compared to a loss of $4.8 billion in the prior year. It declared a final dividend of $212.40 million. A component in the amount of US$200 000 will be paid in foreign currency.
Amalgamated agriculture company, <a href="https://www.pindula.co.zw/TSL_Limited">TSL Limited</a> directors declared a final dividend of US$0.0012 per share which is in respect of the financial year ending 31 October 2022 and will be payable in full to all shareholders of the Company registered at the close of business on 14 April 2023.
<a href="https://www.pindula.co.zw/POSB">POSB</a> declared a dividend of ZWL145 257 029.
The <a href="https://www.pindula.co.zw/Victoria_Falls_Stock_Exchange">Victoria Falls Stock Exchange (VFEX)</a> listed resources group, Caledonia announced a US14 cents quarterly dividend for the period to December 31.
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Several ZSE-listed Companies Declare Profits

<a href="https://www.pindula.co.zw/First_Capital_Bank">First Capital Bank Limited</a> has announced plans to delist from the <a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange">Zimbabwe Stock Exchange (ZSE)</a> with the intention to list at the <a href="https://www.pindula.co.zw/Victoria_Falls_Stock_Exchange">Victoria Falls Stock Exchange (VFEX).</a>
This comes at a time VFEX is gaining rapid momentum having attracted more top-performing companies, injected much-needed confidence and cemented the country as a safe investment destination.
The USD-denominated VFEX is a subsidiary of the Zimbabwe Stock Exchange (ZSE) launched in 2020 as an off-shore financial services centre.
In a cautionary statement published Friday, First Capital Bank company secretary Sarudzai Binha said: 
<blockquote>
The directors of First Capital Bank Limited (the “company’) wish to advise all shareholders and the investing public that the board has approved the delisting of the company from Zimbabwe Stock Exchange, to be immediately followed by its listing on the Victoria Fall Stock Exchange (the “Transaction”).
Further details of the transaction will be provided to shareholders once all regulatory processes have been finished.
Shareholders are, therefore, advised to exercise caution and consult their professional advisors when trading in the company’s shares.
</blockquote>
VFEX offers a raft of incentives including tax exemptions on capital gains and the ability to repatriate funds from a country where foreign exchange is in short supply to attract global capital.
For instance, investors who participate in the VFEX can move their capital and dividends in and out freely.
They also benefit from low transaction costs and tax incentives that include a five per cent dividend withholding tax for foreign investors, as well as exemption from capital gains withholding tax for all investors and minimal currency risks.
First Capital Bank was previously called Barclays Bank Zimbabwe.
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First Capital Bank Plans To Delist From ZSE And List On VFEX

<a href="https://www.pindula.co.zw/Innscor_Africa_Limited">Innscor Africa Limited</a> will trade on the <a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange" title="Zimbabwe Stock Exchange">Zimbabwe Stock Exchange (ZSE)</a> for the last time on February 17, 2023and list on <a href="https://www.pindula.co.zw/Victoria_Falls_Stock_Exchange">Victoria Falls Stock Exchange (VFEX)</a> a week later. 
In its VFEX listing circular seen by <a href="https://newzwire.live/dollars-make-sense-innscors-7-reasons-for-leaving-the-zse-for-vfex/">newZWire</a>, the company laid out its reasons for leaving the ZSE for VFEX. Here is what Innscor is saying:
<h2>Access to USD capital</h2>
Innscor’s chances of obtaining equity financing in foreign currencies to fund capital expenditures, working capital, and regional expansion are stronger on VFEX.
Reporting in USD rather than Zimbabwe dollars will “reduce Innscor’s perceived risk” and aid prospective financiers and investors in understanding its financial performance.
<h2>Lower trading costs and increased liquidity</h2>
VFEX’s trading costs of 2.12% are lower than the ZSE’s 4.63%. This means shareholders can keep more of their capital, potentially making trading in the share more active.
It’s easier to move money in and out of VFEX. Foreign shareholders can repatriate their dividends freely in foreign currency forex and make settle proceeds from selling shares outside the country.
<h2>Tax incentives</h2>
A foreign investor on VFEX pays just a 5% withholding tax on dividends, half of what they would pay on the ZSE. The shareholder also does not pay capital gains tax on VFEX, while they pay 40% when they sell stocks on the ZSE.
<h2>Enhanced regional profile of Innscor</h2>
Innscor also sees VFEX as a plus for its credibility. According to the Innscor, “migration from the ZSE to the VFEX potentially improves the company’s regional profile and commercial standing, creating pathways to the group’s local and regional prospects”.
<h2>Reduced valuation volatility caused by currency translation</h2>
Innscor says VFEX’s USD valuation allows its shareholders to realise the true value of their investments and get a more “accurate benchmark of the stock’s performance while mitigating valuation volatility”.
<h2>Dollars make more sense</h2>
Presenting its accounts in USD, as required by VFEX, will be “more effective” in letting shareholders know the true value of the business.
Large companies have been departing the ZSE and joining the VFEX which, at launch, was described as the destination for investors seeking exposure to foreign capital. 
This reflects the continued decline of confidence in the local currency, which now accounts for a smaller portion of trade in the economy.
Businesses need US money to grow, but they can’t raise enough on the ZSE to cover their needs. Additionally, VFEX is probably better protected from changes in governmental policy, such as suspension of trade and hefty tariffs.
VFEX is still small with its market capitalisation only doubling from US$259 million to US$566 million at the end of the year 2022.
Padenga, Caledonia Mining, Bindura Nickel Corporation, Simbisa Brands, Nedbank ZDRs, Seedco International, National Foods, and the Karo bond are the current members of VFEX. Axia, GetBucks, Seed Co Limited, and Innscor are expected to join.
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Full List: Innscor States Reasons For Leaving ZSE And Listing On VFEX

The African Financials has said the <a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange">Zimbabwe Stock Exchange (ZSE)</a> paced the fastest during the month of December compared to its regional counterparts.
According to the sub-Sahara Africa Top 30 Companies report by African Financials, ZSE saw a 43% increase, followed by Ghana (31%) and Seychelles (18%).
The report says regional stock markets, excluding South Africa, increased on average by 4.5% in US dollar terms in December 2022.
The growth is attributed to strong earnings growth and overvalued stocks, according to <a href="https://www.herald.co.zw/zse-outperforms-regional-bourses/">The Herald</a>. Reads part of the report:
<blockquote>
 The key markets in sub-Saharan Africa that have done well include Nigeria and internationally listed stocks, which make up about 35 percent of the top 30 companies.
Additionally, the telecoms and technology sector has also seen growth with new listings, including companies such as UAC foods in Nigeria, UAC cement in Nigeria, Orange Code d’Ivoire, and African Oil.
However, there are very few companies from South Central Africa, including Zimbabwe, Zambia, Malawi, Botswana, and Namibia, that have reached the critical level of market capitalisation of US$800 million.
</blockquote>
The report notes that while the Zimbabwe dollar-denominated ZSE has faced challenges in 2022, listed companies reported positive earnings performances for the year driven by firm demand.
Companies like <a href="https://www.pindula.co.zw/Delta_Corporation">Delta</a> reported increased volume performance for the nine months to December 31, 2022. 
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African Financials Say ZSE Outperformed Regional Counterparts In 2022

<a href="https://www.pindula.co.zw/Seed_Co_Limited">Seed Co Limited</a>, Zimbabwe’s largest seed producer, intends to list on the <a href="https://www.pindula.co.zw/Victoria_Falls_Stock_Exchange">Victoria Falls Stock Exchange (VFEX)</a> after receiving board approval to depart from the <a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange">Zimbabwe Stock Exchange (ZSE)</a>.
If the plan goes through, the company will follow in the footsteps of Seed Co International, a sister company, which became the first counter to list on the forex-indexed exchange when it began trading in October 2020.
However, Seed Co stated in a regulatory filing with the ZSE yesterday that following board approval, the VFEX listing plan was back on track and that more announcements would be made, NewsDay reported citing the firm’s statement. Reads the statement:
<blockquote>
Shareholders of Seed Co Limited and the investing public are advised that the board has approved the migration of the company’s listing from the Zimbabwe Stock Exchange to the Victoria Falls Stock Exchange.
Accordingly, shareholders are advised to exercise caution when dealing in the company’s securities. Further announcements will be made in accordance with regulatory requirements as and when there are material developments.
</blockquote>
The Pan-African Seed Breeder resumed trading on the ZSE in June 2021, almost eight months after ceasing it in order to pursue the VFEX listing. 
As part of the agreement, Seed Co would collaborate with Seed Co International Limited, a subsidiary listed on the Botswana Stock Exchange (SCIL).
The seed empire’s combined assets would subsequently be transferred to VFEX.
Directors of the Seed Co group were certain that a VFEX listing would help the company achieve its expansion goals because the new bourse deals in foreign exchange at the time.
Imara, one of Zimbabwe’s largest advising firms, expressed worry about the acquisition, claiming it disadvantaged native investors.
It said should Seed Co. Zimbabwe be delisted and entirely bought by SCIL, it won’t be shocking to see Limagrain buying out the minorities of SCIL in the future, thereby depriving African investors of the chance to own such a profitable company. 
The <a href="https://www.pindula.co.zw/Reserve_Bank_of_Zimbabwe">Reserve Bank of Zimbabwe (RBZ)</a> turned down the proposal.
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Seed Co Limited Board Approves Migration From The ZSE To The VFEX

<a href="https://www.pindula.co.zw/Meikles_Limited">Meikles Limited</a> is seeking stakeholder approval to delist from the London Stock Exchange (LSE), <a href="https://theexchange.africa/investing/meikles-seeks-approval-to-delist-from-london-stock-exchange/">The Exchange</a> reported citing a notice to shareholders released on November 14, 2022.
The proposal will be among the key issues to be discussed during the firm’s annual general meeting (AGM) on December 5.
<a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange">Zimbabwe Stock Exchange (ZSE)</a>-listed diversified group Meikles Limited said:
<blockquote>
That the company cancels the listing of its 4 556 899 ordinary shares on the official list of the financial conduct authority and the trading on the main market of the London Stock Exchange,” the company said in the notice under special business.
 That the directors of the company are hereby authorised to do all such things required to delist the company’s shares from LSE.
</blockquote>
Meikles is an investment holding company incorporated in 1937 with a primary listing on the ZSE and a secondary listing on the London Stock Exchange. Meikles Limited shares resumed trading on the London Stock Exchange following the lifting of the suspension slapped on the company’s shares by the LSE in 2009.
This means that Meikles had a dual listing. Dual listing means that the shares of a company are mainly listed on two or more different exchanges.
The secondary listing means that a company trades its shares on a stock exchange other than the place where the first listing is made. As in this case, Meikles has a secondary listing on LSE.
The benefit of a dual listing is that it can make the company’s shares be contacted by more market investors, obtain more raised capital, and improve the stock liquidity of the company.
With Meikles gearing for the delisting, it simply means they won’t enjoy such benefits. Shareholders will decide at the scheduled AGM.
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Meikles Seeks Shareholder Approval To Delist From The London Stock Exchange

<a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange">Zimbabwe Stock Exchange</a>-listed <a href="https://www.pindula.co.zw/Innscor_Africa_Limited">Innscor Africa Holdings</a> is spending US$56 million for the coming year on new projects which include a beer manufacturing plant under its Buffalo Brewing Company (Buffalo). 
This comes after Innscor spent US$70 million on new investments last year, according to <a href="https://newzwire.live/innscor-is-opening-a-brewery-but-can-it-take-on-a-dominant-delta/">newZWire. </a>
More funds are expected to be injected into the alcohol unit in the near future, <a href="https://www.newsday.co.zw/local-news/article/200003363/innscor-invests-in-beer-plant">NewsDay</a> reported quoting Buffalo managing director Richard Mann.
The development is set to challenge Delta Beverages’ decades-long monopoly in the beverage sector on the Zimbabwean market.
Richard Mann told NewsDay that they were planning to break into the sorghum beer market with the Nyathi sorghum beer brand. Mann said:
<blockquote>
We are not yet in the market, but we expect to have our product in the market in December. The alcohol category is very broad. Sorghum and clear beer is common in the southern African region. Clear beer is not a segment of the category. There are some great clear beer brands out there that we would need to compete with.
</blockquote>
Innscor has been in the beverages game since 2013 when its Probottlers was launched with the Bally House Crush and cordial range.
A carbonated soft drink range was introduced under the Fizzi brand and more recently, the premium offering of mixers, the St Clairs range; including Indian Tonic and Soda water. Ginger Ale and Lemonade were added to the product range.
Mann said the company had invested in a plant that had the ability to supply a large portion of the Zimbabwean market in its first phase, and would employ 120 people at production capacity.
Mann said Nyathi was the brand name for the traditional beer made from maize, sorghum malt, water and yeast.
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ZSE-listed Innscor Africa Holdings Launches Beer Unit

Nedbank Zimbabwe is planning to list on the <a href="https://www.pindula.co.zw/Victoria_Falls_Stock_Exchange">Victoria Falls Stock Exchange (VFEX)</a> on November 18, becoming the first lender to trade its stock at the platform since the bourse opened two years ago, <a href="https://www.newsday.co.zw/business/article/200002470/nedbank-zim-heads-for-vfex">NewsDay</a> reported.
VFEX trades exclusively in foreign currency.
Caledonia Mining Corporation, the diversified Padenga Holdings, Bindura Nickel Corporation and hybrid seed technology outfit, Seed Co International are the only counters currently trading their stocks on VFEX.
But last month, pan-African restaurant chain, <a href="https://www.pindula.co.zw/Simbisa_Brands">Simbisa Brands</a> said it <a href="https://zero.pindula.co.zw/simbisa-brands-managing-director-speaks-on-exit-from-the-zimbabwe-stock-exchange/">would be delisting from</a> the <a href="https://www.pindula.co.zw/Zimbabwe_Stock_Exchange">Zimbabwe Stock Exchange</a> and switching to the waterfall.
Nedbank is a unit of the Johannesburg Securities Exchange-listed Nedbank Group, whose footprint spans across southern Africa. Said the financial services outfit in a pre-listing statement sent to shareholders: 
<blockquote>
 Shareholders of Nedbank Group Limited on the Zimbabwe branch register (local shareholders) who are interested in trading their equity securities in Zimbabwe may elect, by completing (a) form of acceptance, to convert their Nedbank shares into Nedbank depository receipts to be issued and listed on the Victoria Falls Stock Exchange.
Zimbabwe Depository Receipts (ZDR) will be issued in Zimbabwe through a private placement sponsorship under Corpserve Nominees as a non-issuer sponsored facility. This means that Nedbank Group Limited will not be the issuer of Nedbank ZDRs on the VFEX and will thus not play an active role in the proposed listing. Nedbank has, however, provided a letter of no objection for the establishment of a non-issuer-sponsored facility.
</blockquote>
Nedbank added that shareholders who do not wish to participate in this ZDR initiative will not have their shares transferred out of Corpserve Nominees as Zimbabwe Depository Receipts. Their Nedbank shares will continue to be held under Corpserve Nominees in South Africa. 
<h2><a href="https://zero.pindula.co.zw/">Pindula News</a></h2>

Nedbank Zimbabwe Planning To List On Victoria Falls Stock Exchange

Simbisa Brands Limited, a fast food outlet company in Africa with its roots in Zimbabwe, has announced plans to delist from the <a href="https://www.pindula.co.zw/ZSE_Direct">Zimbabwe Stock Exchange (ZSE). </a>
The company said it was shifting focus to the foreign currency-denominated <a href="https://www.pindula.co.zw/Victoria_Falls_Stock_Exchange">Victoria Falls Stock Exchange (VFEX)</a>.
In a cautionary statement to shareholders dated 27 September, the firm gave no reasons for delisting and dates for listing on VFEX.
The statement seen by Pindula News said further details of the transaction will be provided to shareholders once all regulatory processes have been concluded. Reads the statement:
<blockquote>
<h2>CAUTIONARY STATEMENT</h2>
The Directors of Simbisa Brands Limited (the “Company’) wish to advise all shareholders and the investing public that the Board has approved the delisting of the Company from the Zimbabwe Stock Exchange, immediately followed by its listing on the Victoria Falls Stock Exchange (the “Transaction”).
Further details of the Transaction will be provided to Shareholders once all regulatory processes have been finalised. 
Shareholders are therefore advised to exercise caution and consult their professional advisers when trading in the Company’s shares.
By order of the Board, 
Prometheus Corporate Services Company Secretary 27 September 2022 
Simbisa Brands Limited 17 Morningside Drive, Mount Pleasant, Harare, Zimbabwe 
</blockquote>
The USD-denominated VFEX, a subsidiary of the ZSE, was<a href="https://news.pindula.co.zw/2020/10/23/victoria-falls-stock-exchange-officially-launched/"> launched in 2020</a> as part of efforts to attract global capital and restore foreign investor confidence in Zimbabwe’s capital markets and help companies raise capital in foreign currency.
To date, VFEX has four listings under its books,<a href="https://news.pindula.co.zw/2021/07/08/caledonia-plans-listing-on-victoria-falls-stock-exchange/"> Caledonia Mining</a>, <a href="https://news.pindula.co.zw/2021/07/19/victoria-falls-stock-exchange-notice-to-seedco-and-padenga-shareholders-full-text/">Seed Co</a>, Bindura Nickel Corporation and <a href="https://news.pindula.co.zw/2021/07/19/victoria-falls-stock-exchange-notice-to-seedco-and-padenga-shareholders-full-text/">Padenga.</a>
Meanwhile, <a href="https://news.pindula.co.zw/2020/06/04/getbucks-in-a-whopping-20-million-loss/">GetBucks</a> Bank, which also intends to migrate to VFEX, has said negotiations for recapitalization and the process to shift to VFEX  are still in progress.
<h2><a href="https://zero.pindula.co.zw/">Pindula News</a></h2>

Simbisa Brands Delisting From The Zimbabwe Stock Exchange

Albert Nangara, a Chemical Technologist and Author, has compiled a list of Exchange Traded Funds (ETFs) on the Zimbabwe Stock Exchange. 
He says investing in ETFs or exchange-traded funds is equivalent to investing in all components that are part of an index directly.
An exchange-traded fund (ETF) is a marketable security that tracks an index, sector, commodity, or another asset which can be purchased or sold on a stock exchange the same way a regular stock can.
<h2>Here is the list of Exchange Traded Funds (ETFs) on the Zimbabwe Stock Exchange (ZSE):</h2>
<h2>Old Mutual Zimbabwe ZSE Top 10 ETF</h2>
Pan-African financial services group Old Mutual introduced the Old Mutual Zimbabwe ZSE Top 10 ETF. The fund tracks the ZSE Top 10 Index, which consists of the largest ten companies, as ranked by investable market capitalization, listed on ZSE. CABS Custodial Services is the fund’s custodian, while Stanbic Bank is the trustee. The constituents reflect the ZSE Top Ten Index, independently calculated and managed by the Zimbabwe Stock Exchange. Rebalancing of the ETF is done every quarter.
<h2>Morgan &amp; Co Multi-Sector ETF</h2>
The Morgan &amp; Co Multi-Sector ETF is Zimbabwe’s first actively managed exchange-traded fund. According to the Morgan &amp; Co website, the Morgan &amp; Co Multi-Sector ETF is an actively managed ETF with the goal of beating the ZSE All Share while boasting a low-cost structure. The ETF aims to earn alpha for investors by taking long positions in fundamentally undervalued sectors. The ETF is benchmarked against the ZSE All Share Index.
<h2>Morgan &amp; Co Made In Zimbabwe ETF</h2>
The Morgan &amp; Co Made In Zimbabwe ETF is an actively managed fund which primarily invests in Zimbabwean manufacturing companies. Normally, at least 80 per cent of the fund will be invested in Zimbabwe-based manufacturing companies whose revenues are primarily derived from manufacturing processes, while 20 per cent may be invested in companies who fall outside of this scope. Zimnat Asset Management’s manager primarily allocates the fund’s portfolio investments using a proprietary model developed by Morgan &amp; Co.
<h2>Datvest Modified Consumer Staples ETF</h2>
The Datvest Modified Consumer Staples Exchange Traded tracks the performance of the Zimbabwe Stock Exchange listed companies within the consumer staples. According to a prospectus statement for the Datvest ETF, CBZ Asset Management have initial seed capital in the form of scrip in the exact weights of the ZSE Modified Consumer Staples Index.
The table shows the counters that are held by the Datvest Modified Consumer Staples ETF and their respective weights. (Photo/ CBZ)
The counters comprising the Datvest ETF are predominately from consumer stocks such as Delta, Innscor, National Foods, Meikles, Simbisa Brands, OK Zimbabwe, TSL, Dairiboard, and African Distillers.
<h2>Cass Saddle’s Agriculture ETF</h2>
The ETF, which was listed by introduction, took off with a seed capital of $36 199 404 and became the fifth overall securities listing on the ZSE this year after it was officially registered. Cass Saddle is an agri-focused asset management company that is licensed by the Securities and Exchange Commission of Zimbabwe (SECZim). The asset manager offers Institutional Fund Management, Individual Wealth Management, Investment services and advisory.
Meanwhile, at the end of the last weekday of trading on the ZSE, a total of 900, 500 shares, corresponding to a market value of ZWL 41,042,437.88, were traded. 
Zimbabwe became the fifth country in Africa to list an ETF, with South Africa, Nigeria, Kenya, and Egypt also currently trading the instrument.
<h2><a href="https://zero.pindula.co.zw/">Pindula News</a></h2>

List Of Exchange Traded Funds (ETFs) On The Zimbabwe Stock Exchange

Zimbabwe stocks more than doubled in the month of May as investors sought to cushion their money from the soaring inflation.
Bloomberg reports that the main industrial index on the Zimbabwe exchange has risen by a record 125% in the month.
This comes when inflations statistics released by the Zimbabwe National Statistics Agency (Zimstat) the month on month inflation rate in April was 17.64% while the year on year Inflation rate (annual percentage change) for the month of April as measured by the all items Consumer Price Index stood at 765.57%. 
Commenting on the stocks trend, Stephen Mashozhera, head of an advisory at Harare-based Access Finance said:
<blockquote>When the index goes up, it’s signalling a deteriorating inflationary and exchange-rate outlook. Institutions buy equities as a hedge against inflation, which drives up prices, rather than keeping the money in debt instruments or in the bank.</blockquote>
Data provided by the <a href="https://www.bloomberg.com/quote/0140932D:ZH" title="Company Overview">Zimbabwe Stock Exchange</a> suggests that using black market rates, the Harare market’s capitalization has increased 64% this year to $2.1 billion while at the officially pegged rate the increase is 244% to $6.1 billion, from $1.7 billion.
More: <a href="https://www.bloomberg.com/news/articles/2020-05-29/zimbabwe-stocks-double-in-may-as-investors-flee-766-inflation">Bloomberg</a>

Zimbabwe Stocks Double Due To Soaring Inflation

Looks like the upward trek trend is dominant at the ZSE as it ended yet another week bullish again. The ZSE closed the week ending 20 September at  $26,65 billion (+18,17%) after adding 3.94 Billion during the course of the week. Some of the highs seen at the ZSE this previous week were last seen in July 2019 according to The Standard.
<blockquote>Market benchmarks edged up: the All Share Index was up 17,76% to 196.37 points while the Industrial Index ended the week 18,03% higher at 654.89 points. The Top 10 Index advanced 21,84% to 182.38 points, highs last seen in July 2019. The Mining Index remained unchanged at 262.50 points. Year-to-date, the market is up 34,28% as measured by the All Share Index.
A total of 26 counters traded in the positive during the week, compared to only one company trading in the negative. First Mutual Limited led the risers, with a 43,48% jump. Other notable gains were seen in SeedCo, Simbisa Brands and OK Zimbabwe, which added 35,04%, 31,89% and 31,73% respectively. The only decliner for the week was Zimre Holdings, down 11,40%, on small value trades worth $5 157.
Activity was quite spread out amongst a number of counters. FBC Holdings, First Capital Bank and Mashonaland Holdings dominated volumes activity, collectively contributing 46,18% to total volumes. Total turnover at $35 181 277 was 9,39% lower than the $38 827 755 seen during the previous trading week. Turnover was largely concentrated in Old Mutual (19,22%), SeedCo (12,61%) and FBC Holdings (12,60%).
Among the heavyweights, Delta Corporation, Econet Wireless Zimbabwe and Cassava Smartech rose 25,05%, 22,77% and 16,64% respectively. Trading in fungible counters remained bullish: Old Mutual traded 34,57% up to a new high of $33.7000 with shares worth $6 762 440 changing hands. PPC Limited added 20% to $2.46000 on trades worth $126 814. The Old Mutual Implied Rate closed the week at 20.5246 from 17.3258 the previous week.</blockquote>

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