Caledonia Joins Victoria Falls Stock Exchange Listing


Business Reporter

VICTORIA FALLS – Mining giant, Caledonia Mining Corporation Plc has become the latest company to list on the foreign currency denominated Victoria Falls Stock Exchange (VFEX) and has issued 620 000 shares for local investors uptake.

The company joins Seed Co International and Padenga Holdings on the country’s secondary bourse since its inception in October of last year.

Caledonia, which owns Blanket Mine in Gwanda has already ceded 10 percent share ownership each to Gwanda community and Blanket Mine staff.

“I am also very pleased to announce that the offer for the listing in Zimbabwe is only made to Zimbabweans,” said Caledonia chief executive, Steve Curtis.

There have been fears over the lukewarm response by companies investing on the VFEX despite efforts by government of Zimbabwe to make it more attractive by offering incentives for listed companies.

“The support from Zimbabwe investors has been extremely encouraging and due to extremely positive responses, Caledonia decided to raise more funds than originally anticipated, reinforcing our belief that this is an important milestone welcoming new shareholders with a mutual desire for investment in Zimbabwe,” said Curtis.

In October, Caledonia reported increased gold production thanks to the successful commissioning of the Central Shaft at Blanket Mine earlier in the year which allows access to deeper resources.

This is expected to yield 80 000 ounce from next year on wards.

The VFEX as of yesterday had a market capitalization of US$ 176.3 million.

The All share index gained 1.53 percent to settle at 106.42 points.

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