African markets

Meikles postpones plans to list on the Tanganda Zimbabwe Stock Exchange

DIVERSIFIED Group, Meikles Limited (ZSE: MEIK) said on Friday plans to unbundle and list its subsidiary Tanganda Tea Company on the Zimbabwe Stock Exchange (ZSE) pending an agreement with the Zimbabwe Revenue Authority (Zimra) on the tax on capital gains.

Tanganda, the country’s largest tea producer, was due to be separated from Meikles Limited and listed separately on the ZSE on Thursday this week.

But in a statement, Meikles Limited said the listing has been postponed indefinitely, until it obtains “approval for capital gains tax relief” from Zimra.

The tax break Meikles was seeking was part of the terms of Tanganda’s split and separate listing, forcing the parent group to put plans on hold for the time being.

“Shareholders are advised that Tanganda’s scheduled listing on the Zimbabwe Stock Exchange scheduled for December 9, 2021 in accordance with the notice dated November 16, 2021 is postponed to a later date,” Meikles Limited said.

“Meikles Limited has requested the approval of the Zimbabwe Revenue Authority for capital gains tax relief in accordance with the provisions of Section 15 (1) (b) of the Income Tax Act. capital gains (Chapter 23:01). This approval has not yet been granted, ”he said. – New Ziana.

The ZW Chronicle