HARARE, July 21 The Zimbabwe Stock Exchange
(ZSE) has been transformed into a company from a mutual society,
opening the way for a public listing on the bourse it operates,
finance minister Patrick Chinamasa said on Monday.
The ZSE has been owned and run by stock brokers since 1946,
but after demutualisation the brokers hold 68 percent while the
government owns the remaining shares.
Chinamasa said stockbrokers and the government would sell
half their shares when the ZSE lists. He did not give a date for
the listing, but an official from the local bourse said this
should happen within three years.
"I am hoping and expecting that we can excite our banking
sector, our pension funds, insurance companies to take up equity
in the stock exchange and I hope the work starts now to try to
sell that idea to them," Chinamasa said before signing the
The ZSE, which has 65 listed companies, had a market
capitalisation of $4.9 billion on Monday.
The main industrial index fell 7.7 percent during the first
half of the year, in tandem with an economic slowdown. Foreign
investors made up more than 55 percent of activity on the
bourse, according to ZSE data.
Foreign fund managers are attracted to consumer-oriented
firms such as mobile phone service provider Econet Wireless
, brewer Delta Corp, and food retailer Innscor
, which are all seen as well managed and with an
expanding consumer base.
(Reporting by MacDonald Dzirutwe; Editing by Ed Cropley)