By ETimes
General Beltings, a Zimbabwe Stock Exchange (ZSE) company will remain listed on the local bourse after minority shareholders shun a mandatory offer by the major shareholder.
In 2020, Shabanie Mashaba Mines (SMM) Holdings, which is under reconstruction, disposed of its entire 43,22 percent shareholding held in the mining consumables manufacturer, General Beltings.
The deal to dispose of the shares was concluded with Jemaimah Investments, a consortium of local businesspeople.
As per listing rules, a shareholder who accrues more than 35 percent shall issue a mandatory offer to minority shareholders as a way to buy them out, which is what Jemaimah Investments complied to.
“In line with the published Mandatory Offer Notice, GB Holdings Limited shareholder spread remains compliant with the ZSE listings requirements, thus the company’s listing shall be maintained,” General Beltings said in a statement.
The company further said payments to offer participants were processed on September 29, 2022.
“We thank all the shareholders for their support and confidence in Jemaimah Synergies Private Ltd.’s vision for the company,” the statement read.
In their last reporting period, General Beltings board chairman Godfrey Nhemachena said the company is expected to increase its market consolidation as the anticipated logistical constraints emanating from the Russia – Ukraine war will compel its existing customers to replace imports with locally produced products.
“Recent price increases in fuels and natural gas signal more severe measures that will inevitably constrain logistical supply chains and thereby dislocate the growth trajectories of the global economy,” Nhemachena said.
General Beltings said the mineral commodity prices are expected to improve on the back of increased global demand. In view of improved mining activity, General Beltings is expected to benefit from increased mining activity and customer penetration.
“Cernol Chemicals will strive to reassert its market position as business was getting back to its old levels and given the recent labour mobility trends the company will further invest in key skills retention and development to ensure improved performance in the year 2022,” Nhemachena added.
The company manufactures and distributes general-purpose and specialised reinforced conveyor beltings, and rubber and chemical products.
Its product range includes rubber-covered belting, polyvinyl chloride (PVC) belting, light-duty PVC belting, solid-woven belting, transmission belting and conveyor belt rubber skirting. General Beltings has two major customers which are Anglo-American Corporation and De Beers.
The group has two subsidiaries in Pigott Maskew and General Beltings as the former manufactures rubber products for mining, manufacturing and construction industries, with a product range covering large and small bore reinforced rubber hoses, rubber agricultural and construction rings among others – Harare
