Old Mutual returns to Zimbabwe market after six years

Shares in Old Mutual began trading on Zimbabwe’s dollar-denominated stock exchange, six years after they were suspended on the country’s main bourse to curb a currency rout.

The shares debuted at 76 US cents apiece on the Victoria Falls Stock Exchange on Wednesday and advanced 2.9% to 78.17 cents by the close, valuing Africa’s largest insurer by assets at $51 million.

In neighbouring South Africa, where the company is based, the stock closed at R12.56.

Old Mutual migrated its listing from the Zimbabwe Stock Exchange.

In 2020, the Zimbabwean authorities suspended trading in its stock, along with other cross-border companies, including South Africa’s PPC and Seed, because their dual listings enabled investors to exploit differences between the two nations’ exchange rates as the Zimbabwean dollar collapsed.

“We expect the listing to generate interest from both local and international investors over time,” Old Mutual, said in an emailed response to questions.