NSSA exits CFI Holdings

Zimre Holdings, through its investment vehicle Stalap, is now the largest shareholder in CFI Holdings after acquiring 12,93 percent of the company’s shares on the Zimbabwe Stock Exchange on Tuesday.

The shares, 13 643 807 of them, were disposed of by the National Social Security Authority. The trades went through at 10,55c.

Zimre Holdings major shareholder Hamish Rudland confirmed the transaction, saying it’s been on the cards for “quite some time now”. The transaction takes its shareholding to around 43 percent.

Zimre chief executive Stan Kudenga said the move is a measure of confidence in the company which is set to go through a capital raise soon. He added that it was also a move towards a defined controlling block of shareholders.

NSSA chairman Robin Vela, who has in the past been vocal about past Zimre transactions, said the disposal was part of the authority’s re-organisation.

“We are re-organising ourselves together with ZHL to gain control of CFI. We have had issues with CFI over its diverse shareholding therefore we want to come up with proper shareholding. There were many y shareholders within the group but without proper capital injects being made into operations.

The now second major shareholder Nick Van Hoogstraten has around 35 percent although there is a dispute over some of the shares in that portfolio he is said to have acquired during a closed period.

Mr Van Hoogstraten immediately dismissed the transaction as a “Mickey Mouse” deal. “In as much as the transaction is aimed at trying to create a controlling block between NSSA and ZHL, that will be almost impossible as ZHL is controlled not by NSSA but the Rudlands,” said Mr Van Hoogstraten. — Wires.

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