The planned sale of more than 51 percent of Dairibord Holdings has shifted attention beyond the change in ownership, with financial analysts questioning whether the company's biggest corporate transaction in years will benefit the business itself or primarily enrich the shareholders' selling control.

The discussions follow Dairibord's July 10 cautionary statement that three shareholders, Equivest Asset Management, Mega Market and Mutare Mart & Exchange, holding a combined stake of more than 51 percent, are negotiating with an unnamed third party over the potential sale of their controlling block of shares.

While the deal could result in a change of control at one of Zimbabwe's largest food manufacturers, analysts say the structure of the transaction raises important questions about who stands to benefit immediately.

Financial analyst Kennedy Ndoro said the proposed transaction appears to involve the sale of existing shares rather than the issuance of new equity.

If that is the case, he argued, Dairibord, one of Zimbabwe's largest food and beverage manufacturers, would not receive fresh capital to fund expansion, modernise factories, reduce debt or invest in new products.

"What exactly is taking place? Is this a liquidity event for existing shareholders?" Ndoro said.

He said the transaction reflects a strategy that Mega Market, led by businessman Shiraan Ahmed, has pursued over several years by accumulating significant stakes in companies the market appeared to undervalue before eventually monetising those investments.

Ndoro cited Turnall Holdings as an example, where Mega Market built a controlling stake before ultimately exiting through the sale of control to PPC.

He argued that a similar pattern has emerged at Dairibord, where Mega Market, working alongside Equivest Asset Management and Mutare Mart & Exchange, accumulated a controlling interest exceeding 51 percent.

"If the current negotiations relate to the disposal of that controlling block, then the transaction represents a transfer of ownership, not an injection of capital into Dairibord," he said.

According to Ndoro, the distinction is important because the immediate financial gains from such transactions are often realised by the shareholders selling control rather than by the operating company.

He noted that in corporate finance, control itself often commands a premium above the value attributed to the underlying assets.

"The most valuable asset changing hands isn't the dairy business itself but control," he said.

Ndoro said investors should therefore distinguish between enterprise value and shareholder exit value, warning that although both may rise, they do not necessarily benefit the same parties.

He questioned what immediate economic benefit would accrue to Dairibord if the transaction involved only the transfer of existing shares.

Chartered accountant and financial analyst Albert Chiremba said the development nevertheless has the potential to benefit the company over the longer term, depending on the identity and strategy of the new controlling shareholder.

He said a strategic investor could strengthen corporate governance, improve operational efficiency, facilitate access to financing, expand export markets and provide industry expertise.

Chiremba added that markets often respond positively to expectations rather than immediate financial changes.

"Even without new capital entering the company, existing investors may anticipate that a capable strategic owner will improve future cash flows. Consequently, the share price may increase because the market is pricing in expected improvements rather than an immediate enhancement of the company's financial position," he said.

However, Ndoro maintained that uncertainty surrounding ownership could itself become a business risk while negotiations continue.

He argued that Dairibord's board and executive management currently have limited visibility over who may ultimately take control of the company.

"The board and the company are literally spectators watching their own being sold out from under them," he said.

"They are just waiting to find out who their new landlord is."

Ndoro said the uncertainty could complicate long-term decision-making, particularly if management delays major capital expenditure or supply chain commitments while awaiting clarity on ownership.

He also pointed to Dairibord's reported need to replace ageing production equipment, questioning whether management would be willing to commit to significant investment before the ownership issue is resolved.

"The unnamed buyer might have deep pockets, but they have not yet legally committed a cent to the company's operating expenses. So do you plan with 'what ifs'?" he said.

Dairibord has not disclosed the identity of the prospective buyer or the value of the proposed transaction.

The company has only stated that negotiations are ongoing and warned shareholders that the transaction, if concluded, could materially affect the market price of its shares.

If completed, the deal would mark one of the most significant corporate control transactions on the Zimbabwe Stock Exchange in recent years, transferring majority ownership of one of the country's best-known consumer brands.

Last month, Dairibord's management approved plans to voluntarily delist from the Zimbabwe Stock Exchange and immediately seek a listing on the Victoria Falls Stock Exchange, marking a significant shift in the company.