Once again the equities’ market glory was short lived, as we revert back to our old pattern of the bond market’s constant dominance. We start off the month of November with a 95% to 5% on the equities side. Although, the equities market recording meagre scores we’ve seen growth in domestic sales volume and a higher realisation of export sales due to a 51% depreciation of the kwacha against the US dollar over the year in some of these securities such as Zambia Sugar PLC among other secuirties’. Escalation of costs remains a major challenge in the business with increases during the period of electricity tariffs.
Equity Market
In the week ended 6th November 2020, a total of 1,774,693 shares were transacted in 90 trades, yielding a market turnover of K863,444. Trading activity was recorded in AEL ZAMBIA, AIRTEL, CEC ZAMBIA , LAFARGE , STANDRAD CHARTERED ZAMBIA, ZAMBIAN BREWERIES, ZAMBEEF, ZAMBIA SUGAR and CEC AFRICA on the quoted tier. The Index (LASI) closed at 3,760.73 points. The market closed on a capitalization of K56,878,773,523 including Shoprite Holdings and K22,639,567,543 excluding Shoprite Holdings.
Bond Market
Bonds of total face value of K29,605,000 were transacted in 13 trades, resulting in a market value sales of K17,654,000.
Important accouchements
CAVMONT CAPITAL HOLDINGS ZAMBIA PLC
Further to the cautionary announcement released on SENS on 8 July 2020, and the market announcements released on SENS on 6 August 2020 and 9 September 2020, shareholders are advised that due to the complex nature of the two processes being run simultaneously, namely the proposed delisting of Cavmont and subsequent offer to minorities (the “Delisting and Offer”) and the proposed disposal of Cavmont Bank Limited (“Cavmont Bank”) (the “Disposal”), a combined circular has been prepared after consultation with the Regulations.
Total revenue for the year ended 31 August 2020 was K3.334 billion, 13% above the prior year comparative, largely driven by 15% growth in domestic sales volume and a higher realisation of export sales due to a 51% depreciation of the kwacha against the US dollar over the year. This was however partially offset by a 27 % reduction in export sales volumes.
A member entitled to attend and vote at the meeting is entitled to appoint a proxy to attend, speak and vote in his/her stead. The proxy need not be a member of the Company. Proxy forms should be forwarded so as to reach the Company`s register office or the transfer secretaries not later than 48 hours before commencement of the Annual General Meeting.
At the Board meeting of Lafarge Zambia Plc (“Lafarge” or the “Company”) held on 3rd November 2020, the Board of Directors (the “Board”) approved an Interim Dividend of ZMW 1.50 per share for the half-year ended June 2020.