KINDOM Financial Holdings founder Mr Nigel Chanakira has sold his 30 percent shareholding in AfriAsia Kingdom Zimbabwe Limited to his co-shareholders in the group, AfriAsia Holdings. The cash and equity swap deal will result in Mr Chanakira, through family investment vehicle Crustmoon Investments, exiting AKZL while the latter will in turn sell its 35,7 percent stake in Botswana's Kingdom Bank Africa Limited to Mr Chanakira's Crustmoon Investments.
Mr Chanakira will also step down as director of all Afrasia Kingdom Holdings Limited and AKZL entities with immediate effect, but will retain the "Kingdom" Trademark from AKZL.
Consequently, AfrAsia will immediately provide additional liquidity support to AKZL and Kingdom Bank and also raise US$20 million capital through a rights issue to be to be led by AfrAsia.
AfrAsia Kingdom Zimbabwe Limited will be rebranded to AfrAsia Zimbabwe Holdings, Kingdom Bank to AfrAsia Bank and Kingdom Asset Management to AfrAsia Capital Management.
The deal will also result in restructuring of the board and management of AKZL and KBL, but AKZL chief executive Ms Lynn Mukonoweshuro will retain her post at the helm of the group.
Mr Chanakira said the decision to sell off was difficult but he had decided to exit AKZL after considering his obligations in relation to the liquidity and capital requirements of the group. This spells an end to 18 months of marriage between Mr Chanakira and AfrAsia.