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AfrAsia to empower workers


AFRASIA Kingdom shareholders are set to approve the implementation of an employee share ownership scheme at its forthcoming extra-ordinary general meeting (EGM) next month.

Report by Acting Business Editor

The EGM will be held on December 19.

In a notice to shareholders, the AfrAsia group company secretary Daniel Makono said this would be in line with the country’s indigenisation and economic empowerment laws.

An employee stock ownership plan (Esop) is described as an employee-owner scheme that provides a company’s workforce with an ownership interest in the company.

In an Esop, companies provide their employees with stock ownership, often at no cost to the employees. Shares are given to employees and may be held in an Esop trust.

Shareholders will also consider a change in its financial year as a special resolution.

“It was resolved that the directors of the company be and are hereby authorised to implement an employee share ownership programme upon such terms and conditions that are consistent with the articles of the company,” Makono said.

“This is aimed at empowering staff members in line with the requirements of the indigenisation and economic empowerment laws.”

With regards to the change in its financial year, Makono said AfrAsia Kingdom limited wanted to sychronise its year-end with that of AfrAsia Bank limited.

“AfrAsia Bank Limited has a 30 June end date and due to the significance of its shareholding in AfrAsia Kingdom (Zimbabwe) Limited, it is required to prepare consolidated financial statements which incorporate the company’s results.

“This alignment of financial year-ends will obviate the need for the company to have two audits in a year thus saving on costs,” he said.
AfrAsia Bank Limited now controls 35% of Kingdom Financial Holdings after its $9,5 million investments in the financial services group.

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