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Equities market buoyed

THE equities market opened firmer this week powered by Prime Minister Morgan Tsvangirai’s remarks last week that the indigenisation regulations would be revised to attract more investment.

The industrial index opened the week on Monday 0,35% firmer to close at 131,41 points.
Meikles led the gainers with a 3,5 cents increase to 39 cents as Radar’s upward trend continued with a 2,7 cents gain to 26,70 cents.

Hippo and Star Africa both ended a cent up at 76 cents and eight cents respectively with Delta slightly up at 43 cents.

The gains were partially offset by losses in Natfoods which retreated five cents to close at 95 cents and M&R which shed four cents to trade at 17 cents. CFI came down 1,20 cents to 16 cents and Zimplow lost a cent to close at four cents.

The mining index went up 1,71 points (0,97%) to close at 177,13 points after RioZim added five cents to close at 285 cents. Analysts however said gains were fairly limited, with many investors reluctant to take up positions until the final indigenisation draft was made available.

The equities market turnover jumped 78% on Tuesday as the bourse continued bullish supported by heavyweight counters.

On Tuesday, cabinet is said to have instructed all the parties involved in the “controversial regulations” to do more consultations on the issue.

A total US$1 933 413,66 worth of shares changed hands. The industrial index rose 0,61% to 132,21 points.
FBC closed softer shedding a cent to 3,7 cents. The financial institution plans to raise US$8 million through a renounceable rights offer of 228,312,640 shares at a subscription price of US$3,5 per share in the ratio of 63 new shares for every 100 held at the close of business next Friday.

CBZ Holding gained 5 cents (3%) to 15 cents. CBZ recently announced that it is going to merge CBZ Bank and CBZ Building Society into one entity called CBZ Bank Limited.

Art Holdings added a cent (3%) to three cents. The conglomerate’s shareholders approved a rights offer last week that is set to raise US$4,67 million for the company.

Econet Wireless Holdings rose 10 cents (2%) to 460 cents. The leading telecommunication company is currently upgrading its network in a bid to increase coverage across the country.

The Mining Index was steady at 177,13 points as resource stocks traded unchanged on Tuesday.

 

Paul Nyakazeya

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