adminRed Star had indicated its intention to re-list on the ZSE after its acquisition by West Group of companies.
Red Star de-listed from the ZSE last year after regulatory authorities approved Starafrica’s buyout of minority shareholders.
The minority buyout was prompted by Red Star’s failure to raise $10 million required to recapitalise the business.
Starafrica later sold the wholesaler to its management.
West Group executive chairman Ken Sharpe said the wholesaler had pushed the re-listing plan to next year.
“Starafrica is in the process of settling the debt so that we take a clean entity,” he said.
“We have since advised the ZSE on the developments and we will be re-listing on the bourse early next year.”
WG acquired a 100 percent shareholding in Red Star after Starafrica offloaded the business due to chronic losses it had incurred.
“Our plans to re-list the newly acquired wholesaler remain hinged on Starafrica’s ability to pay off its debtors so that we take over a fresh entity,” Sharpe said.
The company expects turnover of $200 million in three years and believes it is on course to hit $50 million mark next year.
Red Star trades in groceries, hardware, liquor, health and beauty products, cigarettes, beverages, stationery, building materials and electrical products. — New Ziana.
Online Reporter