Old Mutual marginally inspires ZSE rise

FinX-Gains in Old Mutual and eight other stocks helped the equities market sustain its recent run of slender gains yesterday, as Gideon Gono’s Monetary Policy Statement offers little to digest for investors. The Industrials Index added a marginal 0.06% to close at 138.60 points. A 5 cents gain in Old Mutual to 165 cents outweighed losses recorded in 5 other stocks.

According to figures from the ZSE the Minings Index however continued with its downward trend dropping 2.39% to 77.20 points despite RioZim recovering 5 cents to close at 30 cents.

The value of trades on the bourse was however much improved with more than $1.4 million going through the market compared with $467,000 yesterday. The funds were however concentrated in Econet after the share got more than $1.2 million.

Most big caps traded steady with the exception of Innscor down 0.18% to 56 cents and AICO up 0.60% to close at 16.8 cents.

Banks traded mixed in the wake of the 2012 MPS presentation by the RBZ. In the statement, the RBZ assured the nation that troubled banks only account for a very small market share in terms of deposits at 2.67% and loans at 3.84%. CBZ and ABC were steady at 9 cents and 75 cents respectively, Barclays was down 2.38% to 4.1 cents while NMB was up 5% to close at 1.05%.

Counters that are trading under cautionary were mixed with Art losing 0.01 cent to 0.39 cent while Afre did not trade. CFI traded steady again at 5 cents, a day after reporting its results for the year to 30 September 2011. The group reported a total comprehensive loss amounting to $4.5 million against $0.5 million prior year.

Ariston recovered a marginal 0.75% to close at 1.35 cents. The group today published a notice in the paper calling for an EGM for the purpose of passing with or without amendment, the following resolutions; increase the authorised share capital of the company to $1.6 million from $700,000, approve for capital raising of $8 million by way of a renounceable Rights Offer . The rights offer subscription price is 9 cents per share, on the basis of 2 new ordinary shares for every 1 ordinary share held. Shareholders will also be asked to approve that unissued shares be placed under the control of directors. The EGM will be held on the 28th of February 2012.

Most of the shares that released results this week did not trade. Hunyani was however offered lower at 8.25 cents from 8.5 cents yesterday. The group this week released results for the full year to October 2011. The group posted an improved earnings per share of 0.34 cents compared with a loss of 0.40 cents last year. Operating profit for the period under review was more than double at $2 million up from $787, 678.

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