eBusiness Weekly
Enacy Mapakame
The local equities market maintained an upward trend as all the benchmark indices closed the week to Wednesday in the black, as demand was sustained across the board.
Zimbabwe Stock Exchange (ZSE)’s linchpin All Share Index was 6,91 percent higher to close the week at 111.96 level from 104.72 in the previous week.
At 115.92 level, the ZSE Top 10 Index was 8,58 percent above last week’s 106.76 on the back of gains in the market’s heavyweights.
The Industrials Index increased by 6,94 percent to 375.99 level while the Mining Index added 2,6 percent of value to 167.9 from 163.64 recorded in the previous week.
Market capitalisation closed the week at $10,736 billion which was 6,9 percent above last week’s $10,043 billion.
Total turnover for the week was strong up by 13,54 percent to $ 21,450 million compared to last week’s $18,891 million.
Foreign participation was skewed towards buys which increased 61,03 percent to $12,848 million while foreign sales declined by 45,38 percent to $4,669 million.
Weekly volumes jumped 1 625 percent to percent after 323 million shares exchanged compared to 18 million shares in the previous week as both the market’s heavyweights and mid-tiers drove volumes. This was buoyed by trades in GetBucks were 266,4 million shares worth $8,87 million shares changed hands at a negotiated price of 3,33 cents.
The total number of trades marginally increased by 1,51 percent to 471 from 464 in the previous week.
Hospitality group, Meikles Limited headlined risers for the week with a 26 percent increase to 37,87 cents. The hospitality group reported profit before tax for the year to March 30, 2018 jumped 225 percent jump to $19 million while revenue increased to $534 million from $457 million spurred by good performance in agriculture and hotel business.
Meikles also highlighted plans to expand its Victoria Falls Hotel in the resort town as it consolidates its market share.
The only listed brick making company, Willdale rose 20 percent to 0,6 while Delta added 16,79 percent of value to $2,24.
At 5,97 cents, nickel miner Bindura was 12,64 percent ahead of last week’s closing price of 5,3 cent while property firm, ZPI increased by 9,95 percent to 2,1 cents.
Other gains were recorded in Turnall which rose by 9,09 percent to 1,2 cents while Seed-Co closed the week $2,26, representing a 7 percent increase.
Subject to shareholder approval, Seed-Co intends to raise $19 million through a partial unbundling, which will also result in separate listings of its regional operations.
The seed producer wants to unbundle 71 percent of Seed-Co International represented by 242 million ordinary shares. The unbundling and subsequent separate listing of regional operations on the Botswana Stock Exchange (BSE) will provide Seed-Co with a vehicle for offshore fund raising.
Also on the upside, Econet increased by 5,72 percent to $1,16. The telecoms giant has launched an innovative short-term motor vehicle insurance service, EcoSure Moovah.
The service will offer vehicle insurance cover, ZINARA and ZBC licence discs — as well as free delivery of insurance cover notes and licence discs to the customers’ premises at no extra cost — all payable directly from the customer’s mobile phone.
Further gains were offset by losses in Zimpapers which eased 16,13 percent to 1,3 cents while Truworths lost 14,29 percent of value to 1,2 cents.
Hwange and Powerspeed declined by 5 percent to 3,8 cents and 4,76 percent to 8 cents respectively.
Cement maker Lafarge let go of 3,7 percent to $1,30. Other losses were recorded in NMB and RioZim that lost 0,43 percent to 11,55 cents and 0,67 percent to $1,48 respectively.
Ariston, CFI and FML remained unchanged at 1,68 cents, 70,75 cents and 15 cents respectively.
Activity on the local equities market is expected to increase going forward following the launch of a mobile and online trading platform, C-Trade, on Monday.
