Khaya Cement is set to delist from the Zimbabwe Stock Exchange (ZSE) as part of a corporate rescue plan aimed at reviving the company. The cement manufacturer was placed under corporate rescue in December 2024, and the delisting is seen as a key step in the process. Fossil Mines, the company’s major shareholder with a 76.45% stake, will be forced to sell its shares at a loss.
The corporate rescue plan is being led by Bulisa Mbano of Grant Thornton Chartered Accountants, who was appointed as the corporate rescue practitioner. The plan aims to resuscitate Khaya Cement, which has been struggling due to the impact of US sanctions on Fossil Mines. The sanctions have created an untenable business environment for Khaya Cement, affecting its production capabilities and having a ripple effect on employment and related sectors.
The delisting and sale of Fossil Mines’ shares will pave the way for new partners to come on board and help revive Khaya Cement. The company is vital to the local construction industry, and the corporate rescue plan is seen as a critical step in ensuring its survival. Mbano has expressed optimism about the plan, saying that it is hoped that the resolutions for the rescue plan will be implemented in accordance with the timelines for the benefit of investors and creditors.
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