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JUST IN: Govt extends suspension of fungibility of Old Mutual and PPC shares


JUST IN: Govt extends suspension of fungibility of Old Mutual and PPC shares
Enacy Mapakame Business Reporter
Finance and Economic Development Minister Professor Mthuli Ncube, has extended the suspension of financial services giant Old Mutual and cement maker PPC’s fungibility by another 12 months.
In a notice in the Government Gazette last Friday, Minister Ncube indicated that Government was still considering the implications of an audit report.
The initial suspension was implemented last year on allegations that fingible stocks had become vehicles for repatriating investments out of the country, at a time foreign currency has been scarce and therefore fuelling currency distortions and spike in exchange rate. ....

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More counters delisting at the ZSE


IN the face of weakening economic fundamentals in Zimbabwe, the Zimbabwe Stock Exchange (ZSE) has proved a safe haven for investors with the ZSE All Share Index surging 1046% in 2020. This has been carried over into 2021 as the local bourse sustained rallying momentum in the first week of February along with global shares, as the ZSE All Share Index edged 11,43% to close at an all-time-high of 4012,47 points. In 2021 so far, the market is up by over 55%, thanks to the second best January performance in a decade.
However, the past 24 months have seen no brand new listings of companies and an increase in the number of delistings. The pressures of Covid-19, the contraction of the economy by 4,1% in 2020, government interference with capital markets, high listing costs and a poor operating environment are some of the reasons ZSE listed firms have sought delisting. Furthermore, local companies have been pushed into amalgamations, unbundling and the pursuit of listings on alternativ ....

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