Caledonia Mining Corporation PLC is considering listing on Zimbabwe’s Victoria Falls Stock Exchange (VFEX) before year-end.
The miner told investors it is considering a listing on the Victoria Falls Stock Exchange in Zimbabwe to reinforce its commitment to the country that hosts the Blanket gold mine.
Chief executive Steve Curtis said in a statement:
_I welcome the step towards a more liberal financial environment which is embodied in the proposed benefits attaching to a listing on the Victoria Falls Stock Exchange._
The company noted that having a listing in Zimbabwe will make it easier for Caledonia’s and Blanket’s employees to participate as shareholders.
It will come alongside a US$3mln equity raise with investors in Zimbabwe, to satisfy the requirements for local shareholder spread.
The company said the VFEX listing will be conditional on general market appetite and confirmation of the availability of the necessary mechanisms to benefit from a listing.
Benefits include improved payments in US dollars for gold produced at Blanket.
Zimbabwe’s Finance Minister, Mthuli Ncube officially opened the Victoria Falls Stock Exchange in October 2020 thereby kickstarting the operationalisation of the Victoria Falls Special Economic Zone (VFSEZ).
Padenga Holdings Limited and CBZ are some of the companies that have so far expressed interest in listing on the United States Dollar denominated stock exchange.
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