Old Mutual has agreed to stop trading their shares on the Zimbabwean exchange according to a report in the Bloomberg. This has come after weeks of vitriolic rants from the government which was accusing the organisation of being ” a white monopolistic capital tool”. The entity (often being confused with Old Mutual Zimbabwe) was also accused of elaborate sabotage.
Old Mutual Ltd. is poised to stop trading its shares on the Zimbabwe Stock Exchange, the latest step in the government’s efforts to bring order to its chaotic foreign-exchange market.
The insurer agreed to move its listing to a new bourse in the country that will only deal in foreign currency, three people with direct knowledge of the matter said. The deal came after talks on Monday between representatives of Old Mutual, the Treasury, the Securities and Exchange Commission of Zimbabwe and the ZSE, the people said, asking not to be identified because negotiations were private.
This means that the exchange will now move to the promised Victoria Falls Exchange dubbed VFX that authorities have said will be opened soon in the tourist resort town. The VFX will trade exclusively in foreign currency which means that there will be no chance people will be able to calculate the OMIR which the authorities hate as it allows people to estimate the market value of the Zimbabwean dollar. With Old Mutual out of the way ZSE will be able to resume its operations.
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