Meikles moves to exit Victoria Falls Hotel

MEIKLES Limited is moving closer to exiting the Victoria Falls Hotel after its wholly owned subsidiary, Meikles Hospitality (Private) Limited, entered into a cessation agreement with African Sun Limited to dispose of its 50% interest in the hotel.

In a further cautionary statement, Meikles said the transaction is classified as a Category 1 transaction and will require shareholder approval at an extraordinary general meeting.

“Meikles Hospitality (Private) Limited, has entered into a cessation agreement with African Sun Limited to dispose its undivided 50% interest in Victoria Falls Hotel,” the company said.

The group is preparing a circular to shareholders ahead of the meeting.Meikles warned that the transaction, if successful, “may have a material effect on the value” of its shares and urged investors to exercise caution pending a full announcement.