THE Zimbabwe Stock Exchange (ZSE) has a launched a new programme aimed at mentoring potential issuers in accessing capital markets through an initial public offering.
The programme was launched on Friday.
An issuer is defined as a legal entity that develops, registers and sells securities to finance its operations.
This comes as ZSE has become highly volatile owing to the depreciation of the local currency which has caused a great trek from it to the forex-only bourse, the Victoria Falls Stock Exchange (VFEX).
Last week, clothing chain retailer Edgars Stores Limited announced plans to delist and join the VFEX.
“As part of the strategic initiatives of the ZSE to promote listings, the prospective issuers’ training programme is a structured initiative designed to offer guidance, support and mentorship to potential issuers who are interested in accessing the capital markets through an initial public offering or other listing methods. The training will be offered free of charge to the successful applicants,” ZSE chief executive officer Justin Bgoni said in a statement.
He said the training offered practical sessions and workshops that would ensure companies receive comprehensive guidance and support throughout the listing process.
In 2023, Innscor Africa Limited, Axia Corporation, African Sun, First Capital Bank, Zimplow and GetBucks delisted from the ZSE.
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The ZSE boss said the Prospective Issuers Training Programme was structured in three sessions running for three months.
“The structure of the programme entails practical sessions to ensure that companies receive comprehensive guidance and support throughout the listing process,” he said.
“The training programme will be administered by industry experts within the capital markets ecosystem covering the following key areas listing process, listing requirements, compliance obligations and market dynamics.”
According to ZSE, the training will offer guidance on navigating listing challenges, financial and integrated reporting, corporate governance, investor relations and strategic corporate communications. It will also offer investment pitches by prospective issuers, tools and resources to develop robust investor relations, strategies and build strong relationships with key stakeholders. The training will encompass practical workshops that executive directors will attend.
Bgoni said the programme would also offer benefits such as capital raising platforms, enhanced company profile, expert advice on how to navigate the listing journey, flexible corporate restructuring and enhanced business sustainability and governance decision-making.
“The programme offers prospective issuers access to a host of advisors and consultants who offer expert advice on how to navigate the listing journey,” he said.
“Prospective issuers will learn how to undertake value-enhancing corporate restructuring initiatives such as mergers, acquisitions or disposals more flexibly.”
On business sustainability and governance, Bgoni said the programme enabled companies to develop relevant corporate governance structures that enhanced decision-making thus ensuring the probability of the business to continue operating successfully.
