Business

HARARE – The African Development Bank (AfDB) says Zimbabwe’s companies must consider engaging in toll manufacturing to increase the country’s depressed industrial capacity. Zimbabwean industries, which took a knock during a decade-long hyperinflation, have struggled restart production at full capacity following dollarisation of the economy in 2009. The firms face lack of affordable credit lines,…

HARARE – Embattled foods manufacturer Cairns Holdings Limited (Cairns) plans to delist from the Zimbabwe Stock Exchange (ZSE). The group, suspended from the local bourse in December last year, will next month seek shareholders’ approval of the transaction. Cairns is set to meet the stakeholders and creditors on June 19, 2013 at the High Court….

HARARE – The International Finance Corporation (IFC) has acquired a 10 percent stake in regional financial institution ABC Holdings (ABCH) in a debt-equity swap deal. Under the transaction, ABCH allotted 24 080 230 ordinary shares to IFC to settle a $20 million loan, including accrued interest. In 2007, IFC extended a seven-year loan to ABCH…

HARARE – The recent measures by the Insurance and Pension Commission (Ipec) to further tighten regulation of the insurance industry could result in some insurers collapsing, a top industry player said. Grace Muradzikwa, managing director of Zimbabwe Stock Exchange-listed short term insurer NicozDiamond (Nicoz), said the prevailing liquidity challenges have negatively affected insurance firms, adding…

HARARE – Econet Wireless Zimbabwe Limited (Econet) has appointed Godfrey Gomwe as non-executive director. Gomwe, Anglo America’s global thermal coal business chief executive, brings in a wealth of experience to the telecoms company as he has held numerous directorships and executive positions in both listed and unlisted companies. He was previously head of group business…

HARARE – Embattled Art Corporation (Art) says it expects to conclude negotiations with a new investor, reportedly South Africa (SA)-based First National Battery, before year end. The group’s chairperson Passmore Matupire said the deal, aimed at increasing the company’s battery-making subsidiaries Chloride Zimbabwe (Chloride) and Battery Express (BE)’s capacity and has been the subject of…

HARARE – The Chamber of Mines of Zimbabwe, which represents companies including Impala Platinum Holdings (Implats), rejected a proposal for the state to control mineral production and prices, a draft response from the industry organisation obtained by Bloomberg News shows. Earlier this month, the Mines ministry proposed the auctioning of mineral deposits, restricting production of…

HARARE – Zimbabwe’s financial institutions continue to defy the central bank’s directive to cap lending rates at 12,5 percent. In January, the Reserve Bank of Zimbabwe (RBZ) signed a memorandum of understanding (MoU) with banks — through the Bankers Association of Zimbabwe (Baz) — with the institutions agreeing to reduce lending rates and pay interest…

HARARE – Government is considering partnering the Chinese in setting up a diamond cutting and polishing centre in Zimbabwe. Christopher Mutsvangwa, Minerals Marketing Corporation of Zimbabwe (MMCZ) chairperson, told businessdaily that diamond experts from the Asian country were expected in the country this week to assess and assist in the setting up of the venture…

HARARE – Econet Wireless Zimbabwe Limited (Econet) has injected $50 million into TN Bank Limited (TN Bank) towards recapitalisation of the banking arm, businessdaily heard this week. This comes as the telecommunications company’s founder Strive Masiyiwa in March said TN Bank will be repositioned and rebranded in a year’s time. “Yes… Econet poured in $50…