Econet formalises ZSE offer
BUSINESS| Feb. 15, 2013, 5:37 p.m.
By Alfonce Mbizwo, Harare, Zimbabwe
Zimbabwe’s largest telecoms company, Econet Wireless, has formalised its loan offer to the local stock exchange for setting up an automated trading system.
The mobile operator has offered the Zimbabwe Stock Exchange a loan for the full cost of the electronic trading system including supporting modules needed to enable efficient utilisation of the system.
The automated system costs an estimated USD5 million. The absence of an electronic trading platform makes it possible for stockbrokers to manipulate share prices and short sell. There have been instances when stockbrokers have been accused of trading shares which they do not hold ad then lead the market to secure the shares at lower prices.
Econet has come out strongly against the slow pace of reforms on the ZSE, often dubbed an “old Boys Club" for its resistance to change.
"It is time for the ZSE to become more accessible to ordinary people, and a proper
vehicle for mobilising capital for companies," said Econet.
In its offer, Econet said the loan will be conditional upon the ZSE producing a transparent selection process acceptable to Econet for the selection of the system and vendor. Sources say the disbursements will be conditional upon ZSE following a good corporate governance process.
The ZSE recently parted ways with its CEO, Emmanuel Munyukwi, who was seen as a stumbling block to reforms, over allegations of misconduct.
The ZSE board is yet to respond to Econet’s offer.
MORE BUSINESS NEWS
Umati Capital secures $10m finance line from ApexPeakKenyan financial tech startup Umati Capital has agreed a deal with ApexPeak securing its first line of wholesale capital. Read More
Kirusa acquires Ghana’s Saya MobileVoice messaging and social media apps firm Kirusa has acquired Ghana-based Saya Mobile, which provides instant messaging apps geared specifically for African consumers. Read More
SAP to invest up to $500m in African innovation and growthSAP has announced a long-term commitment to regional expansion, sustainable growth and skills development of up to 10,000 IT consultants in Africa. Read More
Microsoft, UNDP partner to support Ethiopian entrepreneursMicrosoft has signed a collaborative agreement with the United Nations Development Programme (UNDP), under which Microsoft will provide training and mentorship services to 200,000 Ethiopian entrepreneurs. Read More
Location based services market to reach $43.3bn by 2019A new report from Juniper Research forecasts that the Mobile Context and Location Services market will reach $43.3bn in revenue by 2019. Read More
Garmin calls on buyers in Southern AfricaThe Africa team for Garmin Sub-Saharan Africa will be hosting meetings in Lusaka, Zambia to meet with buyers, potential resellers and business partners this month. Read More
Nomanini secures further $450k for expansionSouth African electronic prepaid service distribution platform Nomanini has received US$450,000 in funding from the IDC to expand outside of Africa. Read More
Africa offers US ‘compelling trade and investment opportunity’Africa offers US multinationals a compelling trade and investment opportunity thanks to the rapid economic growth rates across the continent, says Standard Bank. Read More
PwC investment to accelerate African growth opportunitiesPwC is increasing its investment in Africa and building closer links between PwC UK and PwC Africa, to meet increased demand for professional services as trade activity between the two regions grows. Read More
Kouros Capital Group announces multi-billion Nigerian investment planKouros Capital Group Limited (KCG) has announced that it is making immediate arrangements to bring into Nigeria substantial investment funding, for projects in telecommunications, agriculture, banking, oil and gas and aviation sectors. Read More
FEATURED STORYNigeria’s VAS providers ‘on brink of extinction’
WASPAN chief Simon Aderinlola says unless the regulator intervenes, WASPAN may not have anything left to regulate. Kokumo Goodie reports.
BEST READ NEWS
IN DEPTHKenya rolls out e-extension to improve agriculture
In a bid to curb the overwhelmed number of agricultural extension officers in Kenya, the ministry of agriculture is embracing technology with their introduction of E-Extension services, which are aimed at reaching out to over 7 million farmers annually.
COMPANY NEWSSchneider Electric trains 50,000 in energy management
Schneider Electric has trained more than 50,000 people in energy management as part of its BipBop energy access programme.