THE recent shake-up and rebranding of Zimbabwe Stock Exchange-listed civil engineering Company Murray&Roberts Zimbabwe (M&R) into Masimba Holdings could affect its business prospets, analysts have said.
Business Reporter
Last week, the company – once a unit of Murray Roberts International – announced the resignation of its chief executive Stewart Mangoma, who has since been appointed finance director at platinum giant Zimplats.
Mangoma’s departure resulted in the company reappointing former chief executive officer Canada Malunga.
Former finance director Brian Mabiza has also left Masimba Holdings and has rejoined international auditing firm Deloitte Zimbabwe where he is a partner.
NewsDay has established that there has been a huge staff turnover at Masimba at senior management level and directors have left the company since M&R disposed of its controlling stake to a consortium led by Zanu PF legislator Paddy Zhanda.
“From a branding perspective, the name change may have a negative impact on business given that M&R is an internationally recognised brand.
“However its institutional ability may return,” said economist Kipson Gundani.
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“This may result in the firm being driven by mainly locally engineered deals and it may take time for Masimba to have a competitive edge internationally.”
The group operates two segments, contracting – consisting of M&R Construction Zimbabwe – and manufacturing-consisting of Proplastics.
Zhanda, immediate past chairman of M&R Zimbabwe, teamed up with Malunga, Malcolm McCulloch – a representative of South Africa’s Carlmac – and South Africa-based business executive Sam Sithole in acquiring the controlling 47% previously held by Murray & Roberts Ltd of South Africa at a 79% discount.
The deal prompted the Securities Commission of Zimbabwe to investigate the takeover.
Following this deal, the company changed its name to Masimba Holdings. This also resulted in several directors stepping down. Zhanda was not available for comment at the time of going to print yesterday.
