Nedbank Zimbabwe is planning to list on the Victoria Falls Stock Exchange (VFEX) on November 18, becoming the first lender to trade its stock at the platform since the bourse opened two years ago, NewsDay reported.
VFEX trades exclusively in foreign currency.
Caledonia Mining Corporation, the diversified Padenga Holdings, Bindura Nickel Corporation and hybrid seed technology outfit, Seed Co International are the only counters currently trading their stocks on VFEX.
But last month, pan-African restaurant chain, Simbisa Brands said it would be delisting from the Zimbabwe Stock Exchange and switching to the waterfall.
Nedbank is a unit of the Johannesburg Securities Exchange-listed Nedbank Group, whose footprint spans across southern Africa. Said the financial services outfit in a pre-listing statement sent to shareholders:
"Shareholders of Nedbank Group Limited on the Zimbabwe branch register (local shareholders) who are interested in trading their equity securities in Zimbabwe may elect, by completing (a) form of acceptance, to convert their Nedbank shares into Nedbank depository receipts to be issued and listed on the Victoria Falls Stock Exchange.
Zimbabwe Depository Receipts (ZDR) will be issued in Zimbabwe through a private placement sponsorship under Corpserve Nominees as a non-issuer sponsored facility. This means that Nedbank Group Limited will not be the issuer of Nedbank ZDRs on the VFEX and will thus not play an active role in the proposed listing. Nedbank has, however, provided a letter of no objection for the establishment of a non-issuer-sponsored facility."
Nedbank added that shareholders who do not wish to participate in this ZDR initiative will not have their shares transferred out of Corpserve Nominees as Zimbabwe Depository Receipts. Their Nedbank shares will continue to be held under Corpserve Nominees in South Africa.