(HERALD) LonZim steps up drive to rebuild Zim economyCOMMENT - " LonZim steps up drive to rebuild Zim economy " how generous of this for profit investment company.
LonZim steps up drive to rebuild Zim economy
By Walter Muchinguri
LONDON Stock Exchange-listed investment firm, LonZim has raised £1,17 million after issuing new ordinary shares, which will be used to help recapitalise its subsidiaries.
LonZim, which has several operations in Zimbabwe and others in Mozambique, also reaffirmed its commitment to the rebuilding of Zimbabwe.
"The signs of economic growth in Zimbabwe are now tangible," LonZim executive chairman Mr David Lenigas said.
The LonZim board announced that it raised £1 170 269 through issuing 4 255 525 new ordinary shares of 0.01 pence each in the share capital of the company at 27.5 pence per placing share.
The placing shares, the board said were unconditionally placed save for their admission to trading on AIM.
The placing shares will together represent approximately 12 percent of the company’s enlarged issued share capital and the total number of shares in issue following completion of the placing will be 36 331 525.
The funds raised by the company will help to ensure that LonZim subsidiary companies have access to working capital to continue to run their businesses in a commercial and professional manner as economic growth returns to the important market sectors where LonZim operates.
The company has interests in Zimbabwe Stock Exchange-listed company Celsys and Paynet that owns and operates an Electronic Funds Transfer system that automates the process of companies transmitting bulk payment instructions to their corresponding financial institutions.
Other local operations include Gardoserve (Pvt) Limited that is trading as Millpal Chemicals that has been supplying chemicals to industries in Zimbabwe for over 20 years. It also owns the luxurious Leopard Rock Hotel in Vumba near Mutare.
It also plans to operate a low cost airline Fly40 Zimbabwe and has also established Medisure, a company that will import, wholesale and distribute pharmaceutical products in Zimbabwe.
In addition, LonZim is currently reviewing a number of potential investment opportunities including the acquisition and development of several portfolios in the country.