Breaking News

Econet share split, shareholders to decide

by Business reporter
27 February 2013 | 3036 Views
THE Zimbabwe Stock Exchange-listed telecommunications firm Econet Wireless says small investors will now be able to buy its shares when shareholders vote for a share split tomorrow. In a statement, the company said this was a major development since its listing in 1998.

"This will be possible after shareholders approve a 'ten to one' share split at an Extraordinary General Meeting which has all the signs that it will be a success".

While the share split will not have any impact on Econet's market capitalisation, it will allow investors to trade each split share at a tenth of the current market price of the company's shares.

This means there will be more active trading in the firm's shares as more people will now be able to afford to invest in the shares.

At listing in 1998, small investors were the majority of shareholders in Econet.

However, as the price has risen due to the company's growth, small shareholders have gradually been squeezed out by large foreign investors and fund managers.

The company said its founder, Mr Strive Masiyiwa, has not been happy with the development and has personally pushed for the share split.

"Econet believes that the share split will not only allow more small investors to buy or increase the number of Econet shares they own, but will also make shareholders in a fast growing company and in which they will over time benefit from the growth in shares.

"The public shareholders of the company are numerous, with many ordinary shareholders seeking to buy shares in the company.

"This share split will open up investment in Econet to more ordinary investors who had been unable to take part due to the high prices," said the firm.

The share split comes after Econet board realised following a study that the company's shares were now so expensive that only foreign investors were buying the company shares.

As a result, the level of foreign ownership in the company has shot up from 10 percent at listing in 1998 to more than 30 percent at present.

On Monday, Econet share price was $6,76, meaning that an ordinary member of the public would have to pay $676 to buy just the minimum lot amount of 100 ordinary shares.

However, after the split, 100 shares will cost about $69.




The telecommunications company said the share split was an important development for small investors who have always wanted to participate in the growth of the company.

"Millions of small investors had bought the company's shares when it listed but have been unable to buy more shares particularly after dollarisation as the shares became expensive".

Econet Share split Shareholders

Source: TH

Does Prophet Magaya's anointing oil work?

Yes
16.28%
No
74.42%
Spiritual matters
9.3%
43

Comments

News Updates

Email:

Latest News

Men dig with bare hands, rescue toddler completely buried under rubble...

by Staff Reporter | 31 January 2015 | 1740 Views

Simba Mhere, Top Billing presenter, killed in car accident - SABC's we...

by Staff reporter | 31 January 2015 | 3354 Views

'Magical' snakes invade family home - A family from Mhinga Village, ou...

by Staff reporter | 31 January 2015 | 2997 Views

Dead woman 'gets revenge' on little sister who stole her husband - A w...

by Staff reporter | 31 January 2015 | 3595 Views

Former MDC Spokesperson Khumbulani Malinga Joins Zanu-PF - Former Wels...

by Staff reporter | 31 January 2015 | 1828 Views

Hold your horses! It's not Morgan Tsvangirai only - What a people, Zi...

by Shingirai Huni | 31 January 2015 | 2070 Views

Zimbabwean politicians out of touch with global reality - News coming ...

by Tinotenda Panashe | 31 January 2015 | 751 Views

Robert Mugabe defies gravity again

by Nathaniel Manheru | 31 January 2015 | 1776 Views

Prophet Makandiwa donates to former school

by Staff reporter | 31 January 2015 | 875 Views

'Mutasa hearing on with or without him'

by Staff reporter | 31 January 2015 | 1050 Views

Another Baba Jukwa emerges, Zanu-PF war gets nastier

by Staff reporter | 31 January 2015 | 2933 Views

Policeman fined $500 for $30 fraud - A DETECTIVE with 24 years  e...

by Thandeka Moyo | 31 January 2015 | 804 Views

Boy commits suicide over girlfriend ban - A FORM 4 pupil at Tahangana ...

by Sukulwenkosi Dube | 31 January 2015 | 1211 Views

Methembe Ndlovu ordered to pay $1,000 maintenance - FORMER Highlanders...

by Mashudu Netsianda | 31 January 2015 | 1258 Views

'Zimbabweans safe from current SA xenophobic attacks' - NO Zimbabweans...

by Thupeyo Muleya | 31 January 2015 | 852 Views

Duty free vehicles for councillors on the cards - LOCAL Government, Pu...

by Pamela Shumba | 31 January 2015 | 764 Views

Lawyer's application for discharge rejected - A Bulawayo magistrate ye...

by Thandeka Moyo | 31 January 2015 | 601 Views

Cops appear in court for rape - Two police officers who allegedly too...

by Nokusa Masuku | 31 January 2015 | 915 Views

'Cheating wife' killer jailed - A HIGH Court judge yesterday said a ma...

by Mashudu Netsianda | 31 January 2015 | 829 Views

Mphoko meets former mayors, deputies for Bulawayo's revival - VICE Pre...

by Nduduzo Tshuma | 31 January 2015 | 841 Views

NetOne buys lucrative frequency from ZBC for $200 million - NetOne has...

by Zvamaida Murwira | 31 January 2015 | 731 Views

'Afcon deployment aboveboard,' says Sekeramyi - President Mugabe did n...

by Zvamaida Murwira | 31 January 2015 | 673 Views

Mnangagwa wants Zimbabwe to relax investment laws - Zanu-PF candidate ...

by Lovemore Mataire | 31 January 2015 | 844 Views

Delta reduces Coca-Cola prices - Delta Beverages, the bottling partner...

by Staff reporter | 31 January 2015 | 2170 Views

Drama as man protests against ruling - MUTARE Civil Court was brought ...

by Tendai Gukutikwa | 31 January 2015 | 3460 Views

Man offers maintenance to silence ex-girlfriend - IN a bid to stop his...

by Answer Sithole | 31 January 2015 | 3265 Views

Woman demands $750 from bus driver - A MUTARE woman shocked the courts...

by Tinashe Hazvide | 31 January 2015 | 3468 Views

Girl, 15, forced into marriage - THREE aunties who forced their under...

by Lovemore Kadzura | 31 January 2015 | 3163 Views

Motorist swallows driver's licence - THERE was drama at a police roadb...

by Staff Reporter | 30 January 2015 | 4235 Views

Taxi driver wilfully infects girl with HIV - AN HIV-positive Rusape ta...

by Lovemore Kadzura | 30 January 2015 | 2826 Views

Entertainment

Nama awards nominees - Full list - A lot has been said about the Natio...

by Staff reporter | 30 January 2015 | 1160 Views

Munya Mataruse Joins Tuku on US Tour - Upcoming Pakare Paye Arts Centr...

by Entertainment Reporter | 30 January 2015 | 1262 Views

Mugabe, Mujuru at Harare Gallery

by A.A.V. Amasi | 28 January 2015 | 5699 Views

Prof Jonathan Moyo says 'Zimbabwe to meet digitisation deadline in Jun...

by Farirai Machivenyika | 27 January 2015 | 2462 Views

DJ stabbed by lover - A MATSHOBANE suburb disk jockey (29) got more t...

by Staff reporter | 27 January 2015 | 5124 Views

Bulawayo movie Qiniso out in February - THE much anticipated movie, Qi...

by Showbiz Reporter | 26 January 2015 | 2399 Views

Where is omasiganda music now?

by Fred Zindi | 26 January 2015 | 2566 Views

Ringo billed for pre-Valentines Bash in Bulawayo

by Bongani Ndlovu | 26 January 2015 | 3878 Views
iBlog

Four In 10 Americans Face Regular Online Fraud Attacks

Microsoft offers four primary tips to help protect users from identity theft:• be selfish and defensive with personal information by not sharing sensitive details in emails, and instant and text messages• create, use and keep secret so-called “... Read More
SecNews 24 October 2014 ago

Obviously, Windows Xp Has Nothing More To Offer

With no support from the manufacturer, windows xp no longer receives antivirus updates, which provoked an increase in the number of attacks on xp users. according to avast company, windows xp systems are attacked 6 times more often than the devices r... Read More
Sergey 12 June 2014 ago