First Capital Bank has announced a major decision, agreeing to sell its entire shareholding in Makasa Sun (Private) Limited, the holding company whose main asset is the dormant Kingdom Hotel in Victoria Falls, for $30 million to ASB Hospitality LLC of the United Arab Emirates.
Confirmed in a press statement issued on November 19, 2025, the deal involves the bank and its co-shareholder, the First Capital Bank Staff Pension Fund, disposing of all their ordinary and preference shares in the hospitality firm. This transaction is part of a strategic shift by FCB to unlock shareholder value by shedding non-core hospitality assets and refocusing on its core banking and financial services business.
ASB Hospitality LLC, a foreign investment holding company with existing interests in Zimbabwe's hospitality sector, is set to become the 100 percent beneficial owner of Makasa Sun once all conditions precedent are successfully met. ASB Hospitality is the same entity that recently took over the Meikles Hotel in Harare, which has since been rebranded as the Hyatt Regency Harare. FCB anticipates that the new owner will "enhance the strategic positioning of Makasa Sun Hotel (Kingdom Hotel) and support further investment in the Zimbabwean hospitality sector."
The total consideration for the sale is $30 million. The sellers have already received a $3 million deposit, which has been placed in escrow pending regulatory and competition approvals. The remaining $27 million is scheduled to be paid out upon the completion of the sale.
Related Stories
The disposal represents a significant transaction, as it amounts to 11.19 percent of the bank’s market capitalisation as at September 17, 2025, classifying it as a Category 3 transaction under Victoria Falls Stock Exchange (VFEX) listing requirements.
However, the bank clarified that the sale is not expected to materially affect its earnings or headline earnings per share. This is because the Kingdom Hotel, which has been closed for years, had already been classified as a dormant entity in the bank's consolidated accounts. Financially, as of October 31, 2024, the consolidated net asset value attributable to Kingdom Hotel stood at $27,978,445, with First Capital Bank’s 50 percent equity stake valued at $15 million.
The deal’s finalisation remains contingent upon securing several crucial regulatory green lights, including approvals from the Reserve Bank of Zimbabwe’s Exchange Control Department, the COMESA Competition Commission, and the Zambezi Valley Investment Agency, among other required authorities.
Company secretary Sarudzai Binha issued a caution to shareholders, urging them to continue exercising care when trading the bank’s securities until all the required regulatory processes have been fully finalised.
Silverbase Investments and Grant Thornton served as the financial advisers for ASB Hospitality, while Cantor Immerman acted as the legal advisers in the transaction.
Leave Comments