FIRST Mutual Properties Limited (FMP) shareholders have overwhelmingly approved the property firm’s exit from the Zimbabwe Stock Exchange (ZSE), clearing the way for majority shareholder First Mutual Holdings Limited (FMHL) to acquire the remaining minority stake and take the company private.
At an extraordinary general meeting (EGM) held on Tuesday, shareholders voted to terminate FMP’s ZSE listing, approve a US$0,033 per share cash offer to minority shareholders, and amend the company’s Articles of Association to reflect its unlisted status.
The proposed delisting underscores the challenges some listed companies face in unlocking shareholder value on the ZSE.
FMP argues that operating outside the public market will provide greater flexibility to raise capital, pursue strategic partnerships, and restructure its operations while addressing tax inefficiencies that have weighed on its market valuation.
Ahead of the meeting, the company also pointed to a long-standing structural tax disadvantage compared to listed real estate investment trusts (REITs), which its independent adviser said contributed to the stock persistently trading below its net asset value.
In a statement on the EGM results, FMP said the meeting was convened to consider and approve resolutions relating to the voluntary termination of the listing of its ordinary shares from the Main Board of the Zimbabwe Stock Exchange in terms of Section 11 of the ZSE Listings Requirements.
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The resolutions also authorised the company to implement an offer by First Mutual Holdings Limited and/or the underwriter to acquire shares held by minority shareholders for US$0,033 per ordinary share, payable in United States dollars, on the terms outlined in the circular.
Shareholders further approved amendments to the company’s Articles of Association to remove references to the Zimbabwe Stock Exchange and authorised directors to take all necessary steps to implement the resolutions.
FMP said: “Shareholders are advised that all resolutions put to the vote at the extraordinary general meeting of shareholders of First Mutual Properties Limited held on Tuesday, June 2, 2026, were passed.”
Before the EGM, FMP said in a circular that the offer to minority shareholders would run from June 3 to June 24, ahead of the company’s planned delisting from the ZSE on July 1.