LISTED hospitality group, African Sun Limited (ASL) has placed another asset, the Caribbea Bay Resort, on the market.
This was revealed in a Cautionary Statement issued by ASL informing shareholders of the impending transaction.
“Shareholders and the investing public are advised that, in keeping with the strategy of unlocking value, negotiations for the disposal of a selection of hospitality assets are still underway. Pursuant to the above, the Company has placed the Monomotapa Hotel as well as the Caribbea Bay Resort on the market for sale,” reads the statement in part.
The negotiations if successful, will constitute a “Category 1” transaction; accordingly, the company would be seeking the approval of its shareholders at an Extraordinary General Meeting (“EGM”) to be convened at the appropriate time.
Said ASL, “Shareholders and the investing public are therefore advised to continue exercising caution when dealing with the Company’s securities until advised of the conclusion of the said ongoing processes. By order of the Board.”
The move follows the recent sale of the Great Zimbabwe Hotel in Masvingo, which was sold along with its associated business operations for US$4.2 million as part of a capital-raising initiative.
African Sun’s current property portfolio includes Holiday Inn Mutare, Troutbeck Resort, Elephant Hills Resort and Conference Centre and Hwange Safari Lodge.
The group also leases three strategic properties: Holiday Inn Harare, Holiday Inn Bulawayo and The Victoria Falls Hotel.
The moves are in line with the group’s long-term value creation and asset optimisation strategies in response to the industry’s dynamism.
