Online Reporter
Nqobile Bhebhe Zimpapers Business Hub
SHAREHOLDERS of cement manufacturer Khayah Cement Limited, currently under corporate rescue, have resolved to delist the company from the Zimbabwe Stock Exchange (ZSE).
The resolution to voluntarily terminate the listing was passed at an Extraordinary General Meeting (EGM) of shareholders held on Monday.
Reads the resolution: “That, the Company’s ordinary shares be removed from the Main Board of the Zimbabwe Stock Exchange through voluntary termination of the listing in terms of Section 11 of the ZSE Listing Requirements.”
According to a shareholder notice issued following the EGM, the Corporate Rescue Practitioner, Mr Bulisa Mbano of Grant Thornton, was authorised to implement the resolution.
“That, the Corporate Rescue Practitioner be and is hereby authorised to do any and all such acts and things (including executing such documents as may be required) as he may consider necessary, desirable, or expedient to give effect to resolution 1 above,” reads part of the notice.
In terms of Section 11(5) of the ZSE Listing Rules (2019), a resolution to delist must be approved by at least 75 percent of the votes of all shareholders present or represented by proxy at a general meeting excluding any controlling shareholder, their associates, and parties acting in concert.
A quorum comprising more than 75 percent minority shareholder representation was achieved at the meeting. The resolution received overwhelming support, the firm said.
“The resolutions were sustained by a 96 percent vote of those present and entitled to vote. The requirements of the Rules were satisfied,” said the company.
On 24 December, 2024, Khayah Cement’s Board of Directors voluntarily placed the firm under corporate rescue in terms of the Insolvency Act [Chapter 6:07] amid mounting operational and financial challenges.
Mr Mbano was subsequently appointed as Corporate Rescue Practitioner to oversee the restructuring process.
The company has indicated that the decision to delist forms a critical component of its ongoing recovery strategy, aimed at restoring operational stability and long-term viability.
Management cited difficulties in meeting ZSE listing obligations, including the timely submission of financial results and payment of listing fees as key factors behind the move.
By exiting the public market, the company aims to streamline its restructuring process without the immediate pressures of public scrutiny.
The firm said the delisting will facilitate confidential and focused implementation of measures such as debt restructuring, cost containment, and asset rationalisation.
The termination is also expected to significantly reduce operational costs and redirect resources toward the firm’s recovery path.
Bongani Ndlovu