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Oliver Kazunga Acting Business Editor
THE government has taken over Caps Pharmaceuticals, the country’s largest pharmaceutical manufacturer in a bid to revive its operations, Finance and Economic Development Minister Patrick Chinamasa has said.
He said this at the just ended 15th Zanu-PF Annual People’s Conference in Victoria Falls.
The pharmaceutical firm collapsed in 2013 after plunging into a financial crisis due to undercapitalisation, huge debt and allegations of mismanagement.
At the time, Caps was under the control of key shareholder and chairman, Fred Mtandah.
“As part of reviving the pharmaceutical industry in the country, the government has taken over Caps Pharmaceuticals,” said Minister Chinamasa without elaborating while giving an update on the state of the economy at the conference.
Caps used to be the country’s largest drug manufacturer accounting for 75 percent of the local healthcare products on the market.
The firm, apart from manufacturing, was into wholesale distribution and the retailing of pharmaceutical products.
The company last traded on the Zimbabwe Stock Exchange on November 30, 2011 before delisting and it ended a 42-year presence on the bourse trading at $0,10 per share.
Online Reporter