ASL hotel disposal to undergo full regulatory clearance
SAMANTHA MADE
Publicly traded hospitality group, African Sun Limited (ASL)’s proposed sale of Caribbea Bay Resort in Kariba, part of a series of recent hospitality asset disposals, is set to undergo full regulatory clearance after the combined transactions triggered a category 1 classification, requiring an extraordinary general meeting (EGM) and full regulatory approval.
The Group Secretary and Governance Executive, Venon Musimbe, confirmed that the aggregated disposals reached the threshold under local securities regulations that mandates heightened oversight.
“Shareholders are advised that the proposed disposal of the Caribbea Bay Resort, together with other recent disposals of hospitality assets, are subject to regulatory processes, which require aggregation of all disposals made within the year to determine the correct transaction category,” Musimbe said.
“Based on this aggregation, the transaction would be classified as a Category 1, necessitating the convening of an extraordinary general meeting (EGM) at the appropriate time.”
Musimbe added that a formal offer for Caribbea Bay Resort has been received and negotiations are ongoing.
“Pursuant to the above, the Company placed the Caribbea Bay Resort on the market for sale and has started engaging with an interested party who has made a formal offer for the property,” he said.
He urged shareholders and investors to remain cautious while the regulatory processes are ongoing.
“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,” Musimbe said.
ASL initially placed Caribbea Bay Resort and Monomotapa Hotel on the market as part of its strategy to unlock value through asset optimisation.
However, Monomotapa Hotel is no longer for sale after being acquired by the government.
The company said it will keep the market updated on developments regarding the Caribbea Bay sale, pending regulatory approval and the scheduling of the EGM.
