Online Reporter
Nelson Gahadza
MARKET capitalisation of the Victoria Falls Stock Exchange (VFEX) continues to grow on the back of sustained share price gains, new listings and growing investor appetite for US dollar-denominated assets.
According to stockbrokers IH Securities’ March 2026 Monthly Snapshot, the exchange’s market capitalisation increased by 11,9 percent to US$3,85 billion during the month, while the All-Share Index advanced 14,5 percent to 249.86 points.
However, the Zimbabwe Stock Exchange (ZSE) was largely flat over the same period.
“This divergence reflects a structural shift in investor preference towards the VFEX, which offers hard currency trading, relatively stable valuations and exposure to export-driven earnings,” IH said.
It noted that much of the momentum on the VFEX is being driven by Padenga Holdings, which has emerged as a defining feature of the exchange’s growth story.
The company recorded a 44,07 percent gain to US112,56 cents from US78,13 cents, making it the top performer on the bourse during the period.
The gain helped Padenga breach the US$1 billion market capitalisation mark — a key milestone not only for the company but also for the broader market.
Further supporting the exchange’s growth momentum is the recent listing of the US$1 billion Econet InfraCo, which has expanded the VFEX’s market capitalisation and introduced new sector exposure.
IH said the listing is particularly significant as it brings infrastructure and digital economy assets onto the exchange, aligning with global investment trends that favour technology-enabled and data-driven businesses.
“Its inclusion not only deepens the market but also enhances the VFEX’s appeal to a broader investor base seeking diversified USD-denominated opportunities,” IH said in its report.
In the review period, the total value traded on the VFEX rose by 41 percent to approximately US$15,17 million, indicating increased participation in monetary terms.
However, volumes declined by 27,07 percent to 23,99 million shares, suggesting that gains are being driven more by price appreciation than broad-based accumulation.
Innscor Africa led in value traded at US$7,52 million, reflecting sustained institutional interest in fundamentally strong stocks with growth prospects. Innscor recently snapped up a 27 percent stake in Zimbabwe’s largest tea producer, Tanganda Tea Company, through its subsidiary, Rutanhi Beverages, after underwriting the firm’s US$8 million renounceable rights offer.
The group, according to its latest financials for 2025, committed more than US$62 million towards capital expenditure as at December 31, 2025.
This significant financial allocation signals a sustained drive by the group to expand production capacity and consolidate its market position across its various business units.
The selective nature of trading, IH added, aligns with the broader rerating narrative, where investors are willing to pay a premium for earnings visibility and currency stability.
Prospective new listings
It added that the significance of new listings extends beyond immediate capitalisation gains, signalling growing corporate confidence in the VFEX as a viable platform for capital raising and price discovery. Trigrams Investments analyst Mr Wafa Kuchera said the listing of Econet InfraCo, together with strong performances of companies reporting their financial results, drove most of the gains.
Padenga’s rise to a US$1 billion market capitalisation reflects a well-executed strategic transformation.
Mr Kuchera said the exchange’ pipeline of new listings is encouraging, particularly given its diversity. Other stocks, Caledonia Mining Corporation and First Capital Bank, also posted gains after positive performances at the companies, helping drive market gains.
Caledonia rose by 30,19 percent from US5,3 cents to US6,9 cents, while First Capital grew by 9,91 percent to US10,09 cents from US9,18 cents, reinforcing the strength of the rally.
Caledonia recently reported encouraging deep-level drilling results from its Blanket Mine near Gwanda, confirming the continuation of key ore bodies at depth and highlighting high-grade intersections in the newly identified Blanket 7 zone.
By reinforcing confidence in existing resources and pointing to potential extensions of mineralisation below current mine levels, the drilling campaign could meaningfully influence how investors think about Blanket Mine’s long-term production profile and planning.
First Capital Bank saw profit after tax hitting US$$30 million in 2025, up by 52 percent from US$20 million in 2024.
Customer deposits grew by 12 percent to US$200 million and the loan book grew by 14 percent to US$129 million, funded partly by offshore facilities from Afreximbank and the European Investment Bank.
Meanwhile, the ZSE remained largely flat between February and March, closing at ZiG106,03 billion. The All-Share Index declined by 0,16 percent during the period, while the Top 10 Index fell by 0,58 percent.
In real terms, IH said market capitalisation dropped by 3,36 percent to US$3,48 billion, with exchange rate stability providing some support.
Tinaye Agere