Padenga Holdings Limited, unbundled from Innscor Africa Limited this year, was Monday admitted to trade on Zimbabwe Stock Exchange (ZSE) for the first time, ending a three-year primary listing drought for the bourse, whose members grew to 77.
The ZSE last popped a bottle of champagne to a new listing in 2007 when Zeco Holdings listed, and has only seen two reverse takeover listings since then — TN Holdings, which acquired Tedco Holdings in January, and Interfin Holdings which took over CFX Financial Services in May. The highest offer for the new counter was seven cents, but trades opened at five cents.
A total of 2,7 million shares were traded, 1,8 million of these were booked over by Imara Asset Management — the advisory brokers. Padenga rose from the ashes of Niloticus, which until September operated as a wholly-owned crocodile skins division of Innscor, a diversified manufacturing conglomerate, which has diluted its shareholding in the company from 100%.
Innscor has transferred the assets and liabilities of its former subsidiary to the new public company in exchange for 541 593 440 of Padenga’s issued ordinary shares.
The shares would be distributed to Innscor shareholders by way of a dividend in specie, which technically means acquisition by way of share swap in lieu of cash distribution.
Innscor decided on the unbundling and separate listing of Niloticus or Padenga to rationalise its operations and unlock shareholder value.
Padenga, which specialises in the production of crocodile skins, gets 92% of its revenue from tannery exports to Asia and Europe and 8% from meat shipments to Asia.
Its main clients include leading global brands such as Gucci. In the first half to June 30, Padenga reported that gross turnover grew to $11,78 million, while EBDTA increased to $51 835.