Chronicle Editor
Caroline Mutsawu, Sunday News Reporter
HOSPITALITY Group, African Sun Limited (ASL) which became the first tourism player to list on the Victoria Falls Stock Exchange (VFEX) on Friday, said it is confident that trading on the United States dollar denominated bourse will enhance access to equity and debt capital.
With an unparalleled portfolio of hotels in terms of variety, location and size, ASL becomes the 11th listing since establishment of the VFEX in 2020. The group has five business divisions namely City and Country Hotels, Resort Hotels namely Victoria Falls Hotel (operated in partnership with Meikles Hospitality (Private) Limited), Sun Leisure and Real estate.
Among them are Elephant Hills Resort and Conference Centre, Caribbea Bay Resort (Kaiba), Great Zimbabwe Hotel, Hwange Safari Lodge, Holiday Inn Harare, Holiday Inn Bulawayo, Holiday Inn Mutare, Troutbeck Resort and Monomotapa Hotel, to become one of Southern Africa’s largest hotel chains.
ASL was established in 1971 and listed on the Zimbabwe Stock Exchange (ZSE) in 1988 before migrating to the VFEX recently. Speaking at Elephant Hills Resort, one of ASL properties in Victoria Falls, the guest of honour, Environment, Climate, Tourism and Hospitality Industry Minister Mangaliso Ndlovu said tourism which is Zimbabwe’s third largest sector after mining and agriculture plays a pivotal role in the economic growth of the country.
“The listing of the African Sun Limited works towards the national vision 2030 espoused by President Mnangagwa through attracting both local and international capital. Expansion will be achieved through product development and diversification, markets development and diversification, destination accessibility and tourism investments promotion,” he said.
The minister said the tourism sector was targeting to reach US5$ billion by the year 2025. ASL chairman, Dr Emmanuel Fundira said the group had grown significantly becoming the largest hotel chain in Southern and Eastern Africa.
“Our decision to list on the VFEX was influenced by the desire to ensure that the company and ultimately its shareholders take full advantage of the generous benefits which have been availed to companies that list on this steadily growing exchange. Our vision is to be the leading provider in hospitality and leisure operations in Africa by providing outstanding hospitality experiences that our guests love. The listing of ASL will enable the hospitality group to readily access equity and debt capital to finance its continuous upgrade and expansion projects, for which it should be lauded, dovetailing well into the country’s vision, said Dr Fundira.
He said the listing on the VFEX was a great milestone as the company is focused on reaching world-class standards. Speaking on the same platform, ZSE chair Mrs Caroline Sandura implored other players in the tourism sector to implement such initiatives, that will increase African Sun’s global footprint.
“As a top performing company in Zimbabwe, the African Sun Limited, will not only bolster the country’s economic growth but enjoy a number of benefits provided such as raising capital in hard currency and different securities, enhancing visibility to the international community, lowering trading costs and tax incentives for shareholders as well as clarifying valuation and reporting.” @5_shannico
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