HomeNewsChanakira wins

Chanakira wins

-

Kingdom Financial Holdings Limited (KFHL) founder Nigel Chanakira has wrested back control of Kingdom Bank that he had lost two years ago to Meikles Limited.

Reports say Chanakira now controls close to 60 % of the bank. Until now John Moxon, through Meikles, held 42,9% of KFHL.

The deal that is said to have been agreed on a fortnight ago puts an end to the long-running saga that had sucked in President Robert Mugabe, Finance minister Tendai Biti and Reserve Bank of Zimbabwe governor, Gideon Gono, among other senior politicians in the country.

Phillip Chiyangwa, who is part of a local consortium led by Rugare Chidembo that previously held 10,5% in KFHL, confirmed Friday that the shareholding structure had changed at the financial institution.

“The local consortium that I’m part of that held 10,5 %, ceded its stake to Chanakira.

“The 42,9 % controlled by Meikles has also been transferred, making Nigel Chanakira the new majority shareholder,” said Chiyangwa.

Chiyangwa said the pending Meikles extraordinary general meeting would now be a formality as transactions had already been concluded.

“It’s a done deal,” Chiyangwa said.

“Nigel now owns Kingdom Bank. Financial details pertaining to the transaction is a preserve of the shareholders. Phone Nigel to confirm.”

Contacted for comment, Chanakira said he was in a meeting and promised to call back but had not done so up to the time of going to press.

Efforts to reach him were also unsuccessful as he was unreachable on his mobile phone.

In a trading update to shareholders, Meikles Limited on Thursday announced it would sell its shares in KFHL to anyone who made an “acceptable” offer, before or after its EGM slated for the 13th of next month.

Chanakira had been struggling to raise the required $15 million that was required to repossess KFHL by buying the equity held by Meikles and the other 10,5% controlled by a local consortium.

The Meikles board last month threw out the embattled banker’s bid, arguing that it was not convinced by his proposed payment plan, and announced it would call for an EGM where shareholders would vote to separate KFHL and Meikles Limited, on amended terms.

Recent Posts

Stories you will enjoy

Recommended reading