AFRICAN Sun Limited has approved plans to delist from the Victoria Falls Stock Exchange (VFEX), as part of a strategic review to unlock shareholder value and enhance operational flexibility.
In a cautionary statement to shareholders and the investing public, African Sun said the proposed delisting will be accompanied by an offer to repurchase a portion of its issued ordinary shares.
The share buyback will be subject to regulatory approvals and shareholder consent.
National Foods Holdings Limited was the first company to voluntarily delist from the VFEX in January 2025.
ZSE
The company switched its listing from the Zimbabwe Stock Exchange (ZSE) to the US dollar-denominated VFEX in late 2022.
African Sun said the delisting transaction will enhance value and support its long-term strategic objectives.
The move could allow the group greater room to restructure, pursue capital allocation strategies and streamline its operations.
The board did not disclose the proposed pricing mechanism or the proportion of shares targeted under the repurchase offer, stating that further details will be communicated once regulatory processes and internal deliberations have been concluded.
“The board of directors of African Sun Limited (the Company) wishes to advise shareholders and the investing public that the Board has approved the delisting of the company from the Victoria Falls Stock Exchange (VFEX).
“The proposed delisting will be accompanied by an offer by the company to repurchase a portion of its issued ordinary shares from shareholders, subject to obtaining the requisite regulatory approvals and Shareholder consents.
“The proposed transaction aligns with the board’s ongoing strategic review and value-unlocking initiatives, aimed at enhancing operational flexibility and supporting the company’s long-term strategic objectives,” said African Sun company secretary and governance executive Mr Venon Musimbe, in the statement.
This comes as African Sun has indicated its disposal of the Caribbea Bay Resort business in Kariba to unlock capital to refurbish key assets, strengthen its liquidity position and sharpen operational focus.
Caribbea Bay Resort is being sold to the Public Service Pension Fund (PSPF), a state-managed, funded retirement scheme.
The hotel group is accelerating a strategic shift towards a smaller, higher-quality portfolio.
In a circular to shareholders, African Sun said proceeds from the disposal will be channelled into refurbishing and upgrading key properties, including Elephant Hills Resort in Victoria Falls, the Holiday Inn hotels (Harare, Bulawayo, Mutare) and the Victoria Falls Hotel.
African Sun is disposing of non-core hotel assets, including the completed sale of the Great Zimbabwe Hotel for US$4,2 million and the proposed sale of Monomotapa Hotel.-newsda
