FinanceApril 6, 2017

Superior Competitive Advantage: The key to survival in 2017
At the close of every year, we all have that moment when we think about the past year and what we would have done better. We also consider what we learned from the past year that will enable us make positive strides in the coming New Year. Resolutions, many would call them. For premier companies […]

Finance, LafargeApril 6, 2017

Hello 2017! But Wait. Why a Stoppage of Trade on Lafarge Security?
After enjoying a brief hiatus over the festive season that was laden of copulas amounts of all manner of hedonistic treats, we clicked on the Lusaka Stock Exchange’s lead story of a trade suspension ergo “SUSPENSION OF TRADING IN LAFARGE, ISIN ZM0000000011”. Now before all the Christmas pudding you eat starts to dissolve quickly due […]

Tags:

FinanceApril 6, 2017

Aide Memoire of Industries Participating on LUSE.
The stock market is not for everyone. Our opinion is that it should be. However, we understand that ubiquitous information asymmetry render many potential would be investors ill equipped to make decisions of what stock can build up a value creating portfolio. TFHZPC seeks to provide some insight into the decision making process because we […]

British American Tobacco, FinanceApril 3, 2017

BAT Zambia – War against illicit trade
In 2016, Michael Mundashi’s board ushered in a new managing director in Godfrey Machanzi (an engineer turned MBA) and finance director Nigel Curran both legacy employees of the tobacco giant (24 years of combined years of service to date). Michael cites bearish 3% GDP growth, slump in global commodity prices, low energy generation in the […]

Mining, ZCCM-Investment Holdings PlcMarch 26, 2017

ZCCM-IH Getting bigger
ZCCM-IH’s 2014-2015 financials make for interesting reading. The company embarked on investments over the last two years that when consolidated into the accounts led to major impairments being declared in the financials. As a result, the consolidated group’s operating expenses were swollen due to administrative costs caused by impairments from its takeovers. Other external macro [&hell

FinanceMarch 26, 2017

Corporate Governance could be the key in boasting confidence in Zambia’s Stock Exchange
Ignore Corporate Governance at your companies peril After assessing 5 of the most admired companies on the Lusaka Stock Exchange (LSE), I believe it is prudent to provide a few enlightening comments regarding Corporate Governance. Firm value is of utmost importance when investors are looking at placing a bet on a company. However, one of […]

FinanceMarch 26, 2017

When did debt become a bad thing?
When a Zambian entrepreneur decides to take his big idea to the next level, he/she is often faced with the challenge of finding finance. Usually this is coupled with having a belief system that is in two dimensions: First being, do you believe in the idea? The second being are you able to convince other […]

Finance, Insurance, Madison Financial Services PlcMarch 26, 2017

Madison Financial Services – A class act in the art of diversification
The Madison Financial Services Group has come a long way from the glory days of the ambitious Greek supremo Andrew Sardanis (Founder of Madison). They were the first to market with an insurance offering post 1992. With shareholder interests being managed by Lawrence Sikutwa & Associates, the 2004 increase in shareholding to 100% in Madison Insurance set […]

Finance, Zambeef Products PlcMarch 9, 2017

ZAMBEEF – Going Bold with a Cleaner Balance Sheet
Zambeef’s 2016 annual report is aptly titled “A bold retail strategy for African growth”. This places some distance between this statement and their original mantra and company logo of “Feeding the Nation” (Zambia at the time). But why did they become so bold? Through vertical integration. As their profile states, they have been able to […]

FinanceMarch 9, 2017

Executive Pay in Premier Companies: Paradox of Performance and Remuneration
It is somewhat culturally acceptable in Zambia not to discuss executive pay. A study of the real reason why this is so has not been conducted recently therefore it is difficult to pin down the reason why it is not an issue. We are not advocating for it to be one. No! However, we cognizant […]