FMHL takeover: CBZ Holdings awaits green light fro...

FMHL takeover: CBZ Holdings awaits green light from regulators

Nyashadzashe Ndoro

First Mutual Holdings Limited shareholders were informed today by CBZ Holdings Limited that the acquisition of additional shares in FMHL is still awaiting regulatory approval.

This comes after CBZHL announced a mandatory offer to acquire the shares of minority shareholders in January 2024.

The statement, signed by CBZHL Group Chief Governance Officer Rumbidzayi Angeline Jakanani, assures FMHL shareholders that CBZHL “is still in the process of engaging with the Zimbabwe Stock Exchange and Competition Tariff Commission in relation to the approval of the transaction”.

According to the notice, the Competition Tariff Commission has already been notified of the mandatory offer and is currently reviewing the transaction under the country’s Competition Act. The Zimbabwe Stock Exchange, on the other hand, is awaiting the CTC’s approval before proceeding with their own review of the offer.

“At this stage, the CTC has been notified of the Mandatory Offer and are in the process of reviewing the transaction in terms of the Competition Act (Chapter 14:28). ZSE has been advised of the current developments and is expected to proceed to review the offer once the CTC approval has been secured,” the group noted.

The update follows CBZHL’s acquisition of a controlling stake in FMHL in September 2023. The latest move seemingly reinforces CBZHL’s intention to further consolidate its ownership within the financial services sector.