Zimpapers Logo

DIVERSIFIED group, Meikles Limited said on Friday plans to unbundle and list its Tanganda Tea Company subsidiary separately on the Zimbabwe Stock Exchange (ZSE) had been deferred pending an agreement with the Zimbabwe Revenue Authority (Zimra) on capital gains tax.

Tanganda, the country’s biggest tea producer, had been scheduled to be de-merged from Meikles Limited and listed separately on the ZSE on Thursday this week.

But in a statement, Meikles Limited said the listing had been put off to an unspecified date, until it secured “approval for Capital Gains Tax Relief” from Zimra.

The tax relief Meikles was seeking was part of the conditions for Tanganda’s de-merger and separate listing, forcing the parent group to shelve the plans for now.

“Shareholders are advised that the expected listing of Tanganda on the Zimbabwe Stock Exchange scheduled for 9 December 2021 as per the notice dated 16 November 2021 is hereby deferred to a later date,” Meikles Limited said.

“Meikles Limited has sought the Zimbabwe Revenue Authority’s approval for Capital Gains Tax Relief as provided in terms of Section 15 (1) (b) of the Capital Gains Tax Act (Chapter 23:01). This approval has not yet been granted,” it said. – New Ziana.