CBZ Holdings in continued talks for financial sect...

CBZ Holdings in continued talks for financial sector acquisition

Zim Now Writer

CBZ Holdings Limited has issued another cautionary statement regarding ongoing negotiations for a significant acquisition in the financial sector.

This follows a series of similar statements issued throughout 2022 and 2023.

The announcement states that the company is seeking regulatory approvals, suggesting the deal is nearing completion and could significantly impact CBZ’s share value.

The news strongly suggests a connection to CBZ’s previously announced plans to merge with First Mutual Holdings Limited. In September 2023, CBZ acquired a 36% stake in FML, with the stated intention of creating a powerful combined entity in Zimbabwe’s financial sector.

The full impact of the potential merger/acquisition on CBZ’s share price is still under evaluation. The company advises shareholders to proceed with caution when trading CBZ shares until a formal announcement is made.

CBZ assures investors that the board will keep the market informed of any material developments related to the acquisition.

“… the Company is still engaged in negotiations for a potential acquisition of a business in the financial sector. The Company has sought and is in the process of obtaining the requisite regulatory approvals to proceed with the acquisition, which process is at an advanced stage.

“The acquisition, if successfully concluded, may have a material impact on the value of the Company’s shares, the full impact of which is currently being determined,” read part of the notice signed by CBZ chief governance officer, Rumbidzayi Angeline Jakanani.

The potential merger of CBZ and FML, if successful, would create a dominant financial institution with a wider range of financial products and services.