Bindura Nickel Corporation exits Zimbabwe Stock Exchange, eyes VFEX listing - african-markets.com
ZIMBABWE’s biggest nickel operation, Bindura Nickel Corporation ( ZSE:BIND ) shares will cease to trade on the Zimbabwe Stock Exchange (ZSE) today to allow for a smooth migration process to the US dollar denominated Victoria Falls Stock Exchange (VFEX).
BNC is expected to list on the VFEX on 19 December 2021, providing approval is granted by the shareholders at an extraordinary general meeting scheduled for 13 December 2021.
“Following the publication of Bindura Nickel Corporation Limited’s (BNC) circular on 18 November 2021, members of the investing public are further advised that the last day of trading in BNC shares shall be 9 December 2021.
“Effective 10 December 2021, the Zimbabwe Stock Exchange will institute a securities halt in the trading of BNC shares.
“This halt is to allow a smooth migration of BNC shares from the Zimbabwe Stock Exchange to the Victoria Falls Stock Exchange, should approval be granted by the Shareholders at the EGM scheduled for 13 December 2021,” Justin Bgoni, the ZSE chief executive said in a statement.
He added that the Halt will remain in effect until 15 December 2021 and investors will not be able to buy or sell BNC shares during the period the Securities Halt is in effect.
After a year of existence, the VFEX has under its listing, SeedCo International, Padenga Holdings and Caledonia.
VFEX is offering a raft of incentives, including tax exemptions on capital gains and offers the ability to repatriate funds from a country where foreign exchange is in short supply, to attract global capital.
Kuvimba Mining House Ltd, owns a majority stake in the nickel miner. For the half year ended 30 September 2021, BNC’s nickel in concentrate production was 2 553 tonnes, 13 percent lower than 2 929 tonnes produced in the same period last year.
The company said the decline was mainly due to the head grade of 1,26 percent, which was 22 percent lower than for the 6 months to September 2020.
“In addition, and as previously reported, the late commissioning of the Shaft Re-deep and Tie-in project, resulted in only four (4) days of production in the month of April 2021.”
The Company continued with its on-going programme to replace old and obsolete mobile mining equipment with a total capital expenditure of US$4,7 million of which US$1,2 million was spent on a new exploration drill rig, a Load, Haul and Dump (LHD) machine and also on major rebuilds of existing LHDs and rigs.