First Mutual Holdings Limited is weighing a buyout of minority shareholders in its property subsidiary, First Mutual Properties Limited, as part of a proposed plan to delist the company from the Zimbabwe Stock Exchange.
In a cautionary announcement, FMHL confirmed that discussions are underway regarding a possible offer to acquire shares held by minority investors, a move that could pave the way for the property firm’s voluntary exit from the local bourse.
“The Board of Directors of the Company wishes to advise shareholders and the investing public that the Company is currently engaged in evaluations and/or discussions regarding making an offer to acquire shares held by minority shareholders of First Mutual Properties Limited ahead of the proposed voluntary delisting,” FMHL said.
The group warned that the ongoing discussions may materially affect the value of its securities and urged investors to exercise caution when trading in FMHL shares until a detailed announcement is released.
The potential transaction signals a broader restructuring within the First Mutual group, with the parent company seeking to consolidate full ownership of its real estate arm.
FMP separately confirmed that it is participating in negotiations that could ultimately result in its removal from the Zimbabwe Stock Exchange.
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“The company is currently engaged in discussions and evaluating a potential transaction which, if successful, may result in the voluntary delisting of First Mutual Properties Limited,” FMP said, adding that the talks remain at an early stage.
The company cautioned shareholders that the outcome of the process could have a material impact on the price of its securities.
FMP, formerly known as Pearl Properties, is a long-standing player in Zimbabwe’s property sector, with a portfolio spanning commercial property development, leasing and management across major urban centres.
Analysts say a successful buyout would allow FMHL to assume full control of the property business, potentially enhancing strategic flexibility in capital deployment, portfolio restructuring and long-term property development planning outside the constraints of public listing requirements.
However, the proposed transaction remains subject to regulatory approvals, shareholder consent and finalisation of offer terms, none of which have yet been disclosed.
Both companies advised investors to remain cautious while negotiations continue.
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