Hotelier African Sun Limited (AfSun) has announced plans to delist from the Victoria Falls Stock Exchange (VFEX) and undertake a partial share buy-back, marking a significant strategic shift aimed at enhancing operational flexibility and unlocking long-term shareholder value.
The move comes as AfSun continues to reshape its asset portfolio.
The group is seeking shareholder approval to dispose of its Caribbea Bay Resort in Kariba to the Public Service Pension Fund for US$5,65 million, as it accelerates capital reallocation towards higher-return hospitality assets.
Since 2024, the listed hotelier has been offloading non-core properties, including the Great Zimbabwe Hotel and Laclede Investments for US$4,2 million, as well as the Monomotapa Hotel and its adjacent car park for US$18 million.
Proceeds from these disposals have strengthened liquidity, with cash and cash equivalents rising 87% to US$19,9 million by the third quarter of 2025.
AfSun’s planned delisting from the VFEX would make it only the second company to exit the bourse since its inception, after National Foods Holdings Limited.
“The board of directors of African Sun Limited (the company) wishes to advise shareholders and the investing public that the board has approved the delisting of the company from the Victoria Falls Stock Exchange (VFEX),” AfSun said in a statement.
“The proposed delisting will be accompanied by an offer by the company to repurchase a portion of its issued ordinary shares from shareholders, subject to obtaining the requisite regulatory approvals and shareholder consents.”
- Nakamba back from injury
- African Sun floats on ‘gain on bargain purchase’
- African Sun floats on ‘gain on bargain purchase’
- Pension funds generate US$29 million
Keep Reading
Afsun said the proposed transaction aligns with the board’s ongoing strategic review and value-unlocking initiatives, which are aimed at enhancing operational flexibility and supporting the company’s long-term objectives.
The strategy appears to be yielding results, with AfSun’s market capitalisation rising to US$65,1 million as of Friday, up from US$59,12 million in April last year — the month in which it concluded the sale of the Great Zimbabwe Hotel and Laclede Investments.
“Further details of the proposed transaction will be provided to shareholders once all regulatory processes and deliberations have been concluded,” the company said.
“As the transaction may have a material effect on the company’s shares, shareholders are advised to exercise caution and consult their professional advisers when trading in the shares of African Sun Limited.”
