By Plaxedes Sibanda, HARARE, March 2 (The Source) – The Zimbabwe central securities depository firm Chengetedzai Depository Company says it has completed the migration of securities on the Zimbabwe Stock Exchange to its electronic database after adding eight listings on Monday.
Chengetedzai chief executive Campbell Musiwa told The Source that 50 companies were now on its platform, with the exception those firms under judicial management.
On Monday, it added Dawn Properties Limited, Hwange Colliery Company Limited, National Tyre Services Limited, Pearl Properties Limited, Old Mutual Plc, Radar Holdings Limited, Truworths Limited and TSL Limited.
“To date we have processed dematerialisation transactions across all counters,” said Musiwa.
“Old Mutual plc required regulatory approval from the (United Kingdom) Stamp Office with regards to UK Stamp Duty implications which has since been received. The on-boarding date will be announced soon.”
CDC maintains securities in electronic format in investors’ accounts, allowing their transfer from one party to the other through an automated book entry.
“To date we have processed 1,525 cumulative trades at broker to broker level valued at $130,8 million. These trades translate to 4,048 trades at beneficial owner level,” added Musiwa.
“The highest percentage of dematerialised shares as a proportion of the total share register is 61 percent while the lowest is still at 0 percent for the newly on-boarded counters which are yet to see much activity. The average percentage is 20 percent, including the newly on-boarded counters.”
The firm was expected to complete the migration of the firms’ paper-based titles into new electronic shares by December last year, but missed the deadline which has delayed ZSE’s ability to launch its Automated Trading System in February.