The Zimbabwe Stock Exchange (ZSE) will later this month hold an annual general meeting without suspended chief executive officer Emmanuel Munyuki amid relentless push for more reforms at the local bourse.
A notice of the AGM seen by NewsDay indicates that ZSE members will meet in the capital on June 29 where they are expected among other things to approve proposals made by the Securities Commission of Zimbabwe.
The meeting comes amid speculation on the market that Munyuki’s lawyers could be engaging ZSE board lawyers to facilitate his resignation. ZSE chairperson Eve Gadzikwa could not be reached for comment as her phone went unanswered.
The agenda of the meeting shows that the AGM will tackle traditional issues such as the confirmation of minutes from the previous meeting, receiving the annual report of the ZSE, the report of the Auditors and the accounts of the exchange for the financial year to December 31 2011 and appoint auditors for the bourse.
Market sources said following a meeting between Securities Commission of Zimbabwe (SECZ) and the ZSE last Wednesday, the forthcoming AGM was also expected to focus on proposed sweeping reforms at the exchange.
During the June 6 meeting, sources said, the capital markets regulator advised ZSE to review listing rules.
“The commission said ZSE should have an agreed set of listing rules for consistency and uniformity. “The rules should be amended and harmonised in line with regional standards,” said a source close to the developments.
“SECZ also advised ZSE members to consider parallel filing during new listings.
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“This means that exchange should file copies of all listing documents with the commission for record purposes.
“Documents should be filed before finalisation and the commission will not approve the documents because they will be for information purposes. “The regulator also said an official from SECZ may also attend the ZSE Listings Committee meetings for advisory purposes and that official will not have voting rights.”
SECZ, another source said, expressed concern over the composition of the Listings Committee saying it should be in line with good corporate governance practices.
“The commission said it does not read well when brokers who may also bring their transactions for approval sit on the committee.
“Alternatively, ZSE can outsource for experts to sit on the committee,” a source close to the developments.
The last ZSE AGM triggered a fallout between Munyuki and stockbrokers who were concerned with governance issues and, slow pace of reforms at the bourse.
