Getbucks Financial Services, which listed on the Zimbabwe Stock Exchange last Thursday, made history by being the first company not to trade on its first day of listing as there were no takers for the company’s shares. GetBucks is the first Initial Public Offer (IPO) to list since 2007 when Phillip Chiyangwa’s owned engineering firm, ZECO listed.
Last week, GetBucks released the results of their IPO which raised $73,363 from the general public, while the balance of $3,22 million was raised from the underwriters.
GetBucks Zimbabwe is owned 55 percent by Mauritius-registered GetBucks Limited and 34,06 percent by local firm Brainworks Capital, with pension funds holding the remaining shares.
Locally, the microfinance firm has 20,000 clients with 13 branches in major cities such as Harare and Bulawayo. Its loan book stands at over $11 million with the non-performing portion of that two at two percent, much lower than the 15 percent in the banking sector.
The ZSE has suffered a drought of new listings and the other listings on the market over the last couple of years have been achieved by way of introduction. In 2015, Simbisa Brands and Proplastics listed on the ZSE by way of introduction.
Meanwhile, the equities market continued to show bearish form as the mainstream industrial index dropped 2.28 (or 2,03 percent) on a week-on-week basis. Following trading on Friday, which was typified by low activity, the industrial index shed 1.26 to close at 109.88.
A mere two counters traded in the red. Beverages producer Delta slumped $0,0270 to close at $0,6405 and Fidelity Life eased $0,0025 to $0,0975. No counter traded in the positive territory as heavyweights BAT, Innscor and SeedCo were unchanged at $12,2000, $0,2400 and $0,8375, respectively.
The mining index was unchanged from yesterday at 21.74 as Bindura, Falgold, Hwange and RioZim maintained previous price levels at $0,0128, $0,0050, $0,0300 and $0,1040, respectively. A fortnight ago, the mining index was down 1.74 (or 7,41 percent). — BH24/Business Chronicle.