adminFINANCIAL institution Barclays Bank of Zimbabwe Limited (the Bank) has announced that it is in the process of finalising a transaction for the disposal of its 50 percent interest in Makasa Sun (Private) Limited.
Makasa owns a property in Victoria Falls.
“The net consideration to be paid for the Bank’s interest being sold is $14 550 000 (Fourteen Million Five Hundred and Fifty United States Dollars). The parties to the transaction are now in the process of fulfilling conditions precedent stated in the agreement of sale. $7 500 000 shall be received within 30 days of concluding on the conditions precedent from which selling costs shall be paid,” the bank said.
It added that the balance will be paid in instalments over a period of up to 12 years.
Barclays said the balance to be paid by instalments shall incur interest charges which will be reviewed annually in reference to an agreed interest rate benchmark.
“The proceeds of the sale shall be applied towards other banking assets. The value of the net assets which are the subject of the transaction was previously reported at $14,6 million as at 30 June 2015. There will be no significant effect on the net assets per share of the company except to the extent of returns that will be generated from the investment of the proceeds going forward”.
Meanwhile, the Industrial index closed the week on Friday higher at 99.40 points after a 0.07 points (0,07 percent) gain.
Econet was the only counter trading in the positive territory adding $0,0021 to close at $0,2300.
No counter traded in the negative territory while seven counters remained at previous price levels. Week on week industrial index was up 0.48 points (0,49 percent).
The Mining index recovered 0.40 points (2,13 percent) to settle at 19.14 points.
Bindura rose by $0,0005 to close at $0,0095 while Falgold, Hwange and RioZim maintained previous price levels at $0,0050, $0,0300 and $0,1040 respectively.
Week on week Mining index gained 0.40 points (2,13 percent).
Online Reporter