The Zimbabwe Stock Exchange edged 7% in April 2023. The exchange continues to reward investors nominally though the returns are not so flattering when inflation-adjusted. The ZSE lost another counter, African Sun, to the VFEX in April. Meanwhile, VFEX counters were pretty much split down the middle. The impending VFEX listing of Property concern WestProp received a cold welcome from the market.
BAT Zimbabwe led the bulls in April. Impressively doubling investor money. Proplastics pushed up 86.32%, while RTG grew 67.59%. Star Africa brought investors some much-needed joy by growing 51.28%. Mashonaland Holdings joined the gainers after ZB Holdings confirmed the acquisition of a majority stake in the company, growing 31.07%. FBC Holdings (+57.42%), Dairibord (44.93%), GBH (+40.50%). Masimba Holdings (+34.51%) and Afdis (+33.33%) comprised the rest of the top ten. The ZSE had 30 gainers in total.
Only 14 counters were negative in April. OK Zimbabwe was the biggest loser dropping 13.14%, while ART lost 10.92%. All other losers were below 10% loss. Ecocash Holdings felt shareholders’ disappointment surrounding the rights offer to the tune of a 6.88% loss. SeedCo (-8.00%), Nampak (-7.44%), The Datvest Consumer Modified Staples ETF (-5.81%), The Old Mutual Top Ten ETF (-5.05%), Delta (-4,87%), Edgars (-3.85%) and RioZim (-2.59%) made up the bottom 10.
The ZSE had 8 non-movers, namely Bridgefort Class A, Bridgefort Class B, Fidelity, NTS, Old Mutual Zimbabwe Limited (Finsec), Unifreight, Zimplow and regular non-mover ZECO.
ETS and REIT
The ETF and REIT board did not present a pretty picture as it was all red bar one. The Morgan and Co Made In Zimbabwe ETF was 2.75% up. Tigere (-0.22%) and the Morgan and Co Multi-Sector ETF (-0.48%) made marginal losses. Cass Saddle Agriculture ETF (-2.38%) and the aforementioned OMMT and DMCS were also negative.
ETF + REIT
The Victoria Falls welcomed African Sun, so we won’t have a month’s change. The rest of the board was mixed trading. Padenga (+21.38%), SeedCo International (+11.28%), Caledonia (+2.56%) and National Foods (+1.18%) were bullish. Meanwhile, Nedbank (-0.46%), Simbisa (-4.26%), and Axia (-10.91%) traded bearish in the month. Bindura dug deeper into negative territory, losing a whopping 35.86%.
Meanwhile, the WestProp IPO subscription window did not go well. None of the share classes on offer surpassed a 10% subscription rate. On average, 8.23% of the subscription rate was achieved overall. We could point to many reasons the results were underwhelming, but Kura Chihota made an excellent summary on Twitter.
7 and a half reasons why Westprop listing went south. pic.twitter.com/DQIOpii0d0
— Kura Chihota (@KuraChihota) May 1, 2023