Econet Wireless Zimbabwe wants to bail from the Zimbabwe Stock Exchange. This delisting, needing shareholder approval, would erase over 700 million dollars from the market's total value. Analysts, like Kuda Taimo, warn that this guts one of the exchange's most liquid and popular stocks, further wrecking investor confidence.
The company claims its share price is grossly undervalued. It hopes that going private will unlock shareholder value and improve capital access. Their market cap swung wildly after the announcement, briefly hitting a billion dollars before settling near 739 million. With Econet gone, the whole exchange's value could drop to around 2.35 billion dollars from over 3 billion.
This move continues a bad trend for the ZSE. Several other companies have already delisted in 2025, like Khayah Cement and Truworths. Taimo says losing such a cornerstone stock reduces liquidity, increases volatility, and scares off investors. As a partial exit offer, Econet plans to list a new infrastructure company, Econet InfraCo, on the Victoria Falls exchange. Shareholders could get up to a 30 percent stake in that new entity.
The company claims its share price is grossly undervalued. It hopes that going private will unlock shareholder value and improve capital access. Their market cap swung wildly after the announcement, briefly hitting a billion dollars before settling near 739 million. With Econet gone, the whole exchange's value could drop to around 2.35 billion dollars from over 3 billion.
This move continues a bad trend for the ZSE. Several other companies have already delisted in 2025, like Khayah Cement and Truworths. Taimo says losing such a cornerstone stock reduces liquidity, increases volatility, and scares off investors. As a partial exit offer, Econet plans to list a new infrastructure company, Econet InfraCo, on the Victoria Falls exchange. Shareholders could get up to a 30 percent stake in that new entity.
