Lonzim Share Discussion Threads

[ecohouse] 18/2/2010 11:46

Nice thread. May as well have these posts from the other thread -


Ecohouse - 18 Feb'10 - 09:40 - 671 of 674 edit

LZM's Year End Results to 31/8/09 reported a NAV of 101.6p/share and breakthrough to profitability.

The economy in Zimbabwe has continued to improve so the NAV should now be even higher.

Even allowing for the political risks in Zimbabwe LZM shares should be trading well above their current 37p share price.

Most companies would already be trading on a multiple of NAV.

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Ecohouse - 28 Jan'10 - 14:37 - 621 of 671

With the continued improvements to the economic climate in Zimbabwe, LZM's NAV has probably increased even more since August 2009 and should, along with revenues, receive a further boost when the refurbished part of the Leopard Rock Hotel opens again shortly, and continue to do so for the forseeable future.

Current share price only 38p (MCap £13.8m) looks due for a re-rating.

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KVRR - 28 Jan'10 - 16:52 - 622 of 671 edit

ecohouse: compare two Africa related companys Lonzim LZM with Lonrho LONR.

LONR's Trading Update 30-12-2009 said LONR has Net Assets of £84m. LONR was trading today at 13p (mcap £136.5m) which is 1.62 x said Net Assets.

If LZM was to do the same LZM could be trading at 1.62 x the Net Asset Value £32.6m (i.e. 101.6p per share) you referred to from this weeks Final Results, which = a share price of 164p for LZM.

What is even more interesting is that LONR was making a loss, whilst LZM is in profit and without debt.

[oil and gas] 18/2/2010 10:51

A new thread. I will add more to the heading in due course.

[oil and gas] 18/2/2010 10:50

..............................................

LonZim - Building a portfolio of investment businesses in Zimbabwe and adjoining Mozambique, which may rapidly benefit from any improvement in the Zimbabwean economy.

Key Interests:

- Paynet Ltd. (100%) - electronic funds transfer & salary systems.
- Leopard Rock Hotel (100%) - hotel in the Eastern Highlands.
- Millpal Chemicals (100%) - industrial chemicals and cleaning products.
- Fly540 Zimbabwe (90%) - commercial airline (planes leased to LZM).
- Aldeamento Turistico de Macuti (79%) - development on the Mozambique coast.
- Celsys Ltd. (60%) - printing, mobile phones, IT & marketing.
- Panafmed (51%) - pharmaceuticals and medical product delivery logistics.
- ForgetMeNot Africa Ltd. (51%) - message optimiser for mobile phones.

Final Results for Year to 31st August 2009 (26/1/2010):

"Most of the operating businesses have become cash generative in the current year and are delivering strong growth as the general Zimbabwe market begins to recover".

- Turnover £2.6m.
- Profit £913,000.
- Net Assets £32.6m.
- Net Assets per share 101.6p.

Investment Warning:

A new "Indigenisation" law came into force on 1/3/2010, requiring white owned businesses in Zimbabwe to hand over 51% shareholdings to local indigenous people or face 5 years in jail.


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[oil and gas] 18/2/2010 10:07

Any chance LZM might take out a Listing on the Zimbabwe Stock Exchange?

[ecohouse] 18/2/2010 10:00

KVRR I assume we can we take it you are now aboard and expecting LZM to rapidly trade on a multiple of its August 2009 Net Asset Value of 101.6p?

[kvrr] 18/2/2010 09:47

ecohouse, LOL, couldn't agree more. Not forgetting -



Ecohouse - 28 Jan'10 - 14:37 - 621 of 671

Key points from LZM's Final Results for the Year Ended 31/8/2009, released this week:

Turnover £2.6m
Profit £0.913m
Net Asset Value £32.6m (101.6p per share)
Cash £2.4m

My observations:

With the continued improvements to the economic climate in Zimbabwe, LZM's NAV has probably increased even more since August 2009 and should, along with revenues, receive a further boost when the refurbished part of the Leopard Rock Hotel opens again shortly, and continue to do so for the forseeable future.

Current share price only 38p (MCap £13.8m) looks due for a re-rating.



KVRR - 28 Jan'10 - 16:52 - 622 of 671 edit

ecohouse: compare two Africa related companys Lonzim LZM with Lonrho LONR.

LONR's Trading Update 30-12-2009 said LONR has Net Assets of £84m. LONR was trading today at 13p (mcap £136.5m) which is 1.62 x said Net Assets.

If LZM was to do the same LZM could be trading at 1.62 x the Net Asset Value £32.6m (i.e. 101.6p per share) you referred to from this weeks Final Results, which = a share price of 164p for LZM.

What is even more interesting is that LONR was making a loss, whilst LZM is in profit and without debt.

[ecohouse] 18/2/2010 09:40

LZM's Year End Results to 31/8/09 reported a NAV of 101.6p/share and breakthrough to profitability.

The economy in Zimbabwe has continued to improve so the NAV should now be even higher.

Even allowing for the political risks in Zimbabwe LZM shares should be trading well above their current 37p share price.

Most companies would already be trading on a multiple of NAV.

[kvrr] 18/2/2010 09:16

Good news for business's in Zimbabwe:

Zimbabwe's Controversial Indigenisation Regulations Dropped


16/02/2010 22:35:00

Harare, February 17, 2010 - Zimbabwe's Youth Development, Indigenisation and
Empowerment Minister, Savior Kasukuwere has backed down from implementing
his controversial indigenisation regulations gazetted two weeks ago as
pressure mounted on Zimbabwe to review the legislation which was widely
feared it would scare away investors.

The regulations, which were ssupposed to set in motion the Indigenisation
Law passed by the Zimbabwe Parliament prior to the controversial harmonised
elections in 2008, would have seen whites ceding 51 percent of shareholding
in every company capitalized to the tune of US$500 000 by 1 March. Failure
to do so was going to attract a jail sentence of up to five years.

Zimbabwe Prime Minister and leader of the main faction of the Movement for
Democratic Change (MDC) Morgan Tsvangirai, last week dismissed the
indigenisation regulations as null and void because there had been no
consultation as prescribed by a political power sharing agreement signed by
President Robert Mugabe and Tsvangirai.

Tsvangirai's spokesperson, James Maridadi, said: "What Zimbabweans want is a
real economy, with jobs, growth and food security. Instead, these
regulations would have plunged us back into the sort of economic decline and
wide-scale job losses we saw as a result of the corrupt farm acquisition
programme. And all for the sake of further enriching the political eliteini
who have already acquired millions through so-called land reform, at the
expense of the rest of the population."

In the past weeks there had been an outcry from trade unions, employers, and
economists.

Kasukuwere on Tuesday agreed to shelve the regulations and consult with
other Government Ministers, particularly with Elton Mangoma, Minister of
Economic Planning and Investment.

"It's back to the drawing board to devise a true empowerment policy that
will meet the needs of the people, and drive economic growth and job
creation," government sources said last night.

"The Prime Minister has always been a strong advocate of policies that
empower the poor and marginalised," said Maridadi. "That is why empowerment
was a central platform of the MDC manifesto in the last elections. But to
the Prime Minister, empowerment means creating opportunities for people,
jobs, education, and hope. The proposed regulations would have achieved the
exact opposite. That is why the Prime Minister opposed them in the
strongest terms."

The regulations were gazetted without any prior consultation within the
Cabinet Committees or the Council of Ministers, in clear breach of Cabinet
Rules and the Constitution.

[thanksamillion] 18/2/2010 08:38

Reality strikes home!

[tenapen] 18/2/2010 07:30

Zimbabwe's Controversial Indigenisation Regulations Dropped



16/02/2010 22:35:00

Harare, February 17, 2010 - Zimbabwe's Youth Development, Indigenisation and
Empowerment Minister, Savior Kasukuwere has backed down from implementing
his controversial indigenisation regulations gazetted two weeks ago as
pressure mounted on Zimbabwe to review the legislation which was widely
feared it would scare away investors.
Cont.....

---------------------------

I had wonderd why Celsys share price had recovered yesterday.

[tenapen] 17/2/2010 20:37

Zimbabwe Pressure Group Plans Xenophobic Attacks



16/02/2010 14:30:00

Harare, February 16, 2010 - Zimbabwe's militant black empowerment group, the
Affirmative Action Group (AAG) on Monday said they will use force to rid of
all Nigerians running businesses in the country's cities and towns to pave
the way for black Zimbabweans.
Cont...

---------------------------------

Its not just whites they hate !.

[tenapen] 16/2/2010 11:04

EU sanctions on Mugabe and allies to stay



by Basildon Peta in Brussels Tuesday 16 February 2010

MEMBERS of the European Parliament (MEPs) have urged EU ministers meeting
today to renew targeted sanctions on President Robert Mugabe and his
henchmen to punish them for lack of progress in implementing the global
political agreement (GPA).

Cont.....



:-)

[tenapen] 15/2/2010 10:40

Zimbabwe's biggest investment forum opens



By SINIKIWE MPALA

Published on: 14th February, 2010

HARARE – ZIMBABWE'S biggest international investment conference since the
formation of the inclusive Government, the Africa investor (Ai) Pan-African
Tourism and Infrastructure Investment Summit starts in Harare today, with 14
African government ministers, international bankers and 32 chief executive
officers of international investment financiers attending.
Cont....

[thanksamillion] 14/2/2010 11:26

Thought of replying but will organise cash instead, these are a steal.

[tenapen] 13/2/2010 11:24

.... them being successfull and all.

[tenapen] 12/2/2010 18:25

Or just watch the video on the site, simple !.

It sums up why Mugabe will be voted out in the next election. Morgan Tsvangirai as played a very good hand, He as proved to the Zimbabwean that he can do the job of getting food on the shelves. He also proved to SADC that it is Mugabe who is blocking progress. SADC may still be scared of Mugabe but would he dare try something ?.

kvrr, Your a De / Ramper, and anyone reading your post should know that you would say black was white so you can get 'MONEY' and fu*k anyone else.

[tenapen] 12/2/2010 12:08

Tsvangirai goes for fresh poll



Thursday, 11 February 2010 23:08

The sources said Zuma met Tsvangirai on the sidelines of the World Economic
Forum in Davos a fortnight ago and informed him that regional leaders were
proposing an election to end the country's political impasse.

Tsvangirai reportedly bought the idea.

[kvrr] 12/2/2010 08:46

Zimbabwe economy continuing to grow.

[tenapen] 11/2/2010 15:54

... but only risk what you can afford to loose.

Re- NAV, i do not think we will get full NAV untill after an election with a clear MDC victory.

Regards.

[thanksamillion] 11/2/2010 15:41

Well buy some more then while there so cheap.