Africa’s largest insurer by assets returns to Zimbabwe market after six years

Old Mutual shares opened at 76 US cents on the VFEX before rising 2.9% to 78.17 cents by the close. The debut valued the insurer, Africa’s largest by assets, at about $51 million on the exchange.

The company, which is headquartered in South Africa, migrated its listing from the Zimbabwe Stock Exchange (ZSE) to the VFEX, per Bloomberg’s report.

Old Mutual’s move comes after Zimbabwe’s authorities suspended trading in its shares and those of other cross-border companies in 2020.

The government said the dual listings allowed investors to exploit differences between Zimbabwe’s exchange rate and those in neighbouring countries as the local currency came under severe pressure.

The VFEX operates in US dollars, giving companies and investors an alternative to the currency volatility that has historically affected Zimbabwe’s capital markets.

Old Mutual said it expects the new listing to attract both domestic and international investors over time, adding that dollar-denominated trading provides clearer valuation and reduces foreign-currency risk.

The return of Old Mutual comes as the VFEX gains prominence in Zimbabwe’s capital markets.

Established in 2020, the exchange surpassed the 132-year-old ZSE in market value in March after telecommunications infrastructure company Econet InfraCo moved its listing to the VFEX at a valuation of about $1 billion.

The development signals a broader shift away from the Zimbabwe Stock Exchange, where investors have long argued that local currency volatility and capital controls distort valuations.