Zimbabwean tycoon John Moxon gains $2 million from stake in Harare-based firm

Omokolade Ajayi -

Zimbabwean businessman John Moxon’s stake in Meikles Limited has risen in value by ZWL641.56 million ($2 million) in the last four weeks as shares in the Harare-based group surged by double digits amid renewed investor interest.

Meikles is a Zimbabwean conglomerate with a diverse portfolio of investments in hospitality, retail, supermarkets, agriculture, and financial services. It is led by Moxon, who owns 10.8 percent of the company, or 27,933,226 shares.

The Victoria Falls Hotel, TM Supermarkets, Meikles Stores, Meikles Centar Mining, and Tanganda Tea Company, an agro-allied company that recently floated its shares on the Zimbabwe Stock Exchange as a separate entity, are all owned by the Harare-based conglomerate.

The recent increase in the market value of Moxon’s stake in Meikles comes after the Zimbabwean firm reported profits in excess of $11 million at the end of its 2022 fiscal year, owing to the strong performance of its subsidiaries during the previous period.

According to the group’s 2022 financial report, profit at the end of its 2022 fiscal year increased by 461 percent from ZWL598.6 million ($1.85 million) in 2021 to ZWL3.42 million ($11 million), owing to a consistent increase in revenue.

During the period under review, the group’s revenue increased by 36 percent, from ZWL49.1 billion ($150 million) in 2021 to ZWL65.98 billion ($200 million) in 2022. The increase in sales was driven by a 26 percent increase in units and an 11 percent increase in client transactions.

This impressive financial performance piqued the interest of investors, resulting in increased buying interest on the local bourse and a nearly 30 percent increase in the company’s share price from ZWL77.03 ($0.239) on September 23 to ZWL100 ($0.311) on Oct. 21.

As a result of the recent price gains, the market value of Moxon’s 10.8-percent stake in Meikles has increased by ZWL64.6 million ($2 million) in the past four weeks, from ZWL2.15 billion ($6.68 million) on September 23 to ZWL2.79 billion ($8.67 million).