ZSE delists Truworths

STAFF WRITER

The Zimbabwe Stock Exchange (ZSE) has delisted Truworths Limited with effect from 22 July 2025.

The decision comes after the fashion retailer and its subsidiaries were placed under corporate rescue amid financial distress.

ZSE Group Chief Executive Officer Justin Bgoni confirmed the move, noting that the delisting was executed in accordance with the provisions of the ZSE Listing Requirements and the Securities and Exchange Act.

“Following the Board of Directors of Truworths voluntarily placing the company under corporate rescue, the shareholders of Truworths met on 20 February 2025 and passed the resolution for the voluntary termination of its listing on the ZSE in accordance with Section 11 of the ZSE Listing Requirements,” Bgoni said.

He added that the exchange had fulfilled its regulatory obligations before proceeding with the delisting:
“As required by Section 64 (1)(a)(i) of the Securities and Exchange Act [Cap 24.25], the ZSE sought and was granted permission by the Securities and Exchange Commission of Zimbabwe (SECZim) to delist Truworths from the ZSE’s official list.”

In line with Section 15(d) of the ZSE Listing Requirements, shareholders and market participants have been advised that Truworths’ securities are no longer tradable on the exchange as of 22 July 2025.

The development marks a significant turn in the trajectory of the once-prominent clothing retail chain. In August 2024, Truworths and its subsidiaries—Topic Stores and Bravette Manufacturing Company—were placed under corporate rescue, Zimbabwe’s equivalent of bankruptcy protection.

Crowne Advisory was appointed as Corporate Rescue Practitioners (CRP) to oversee the company’s restructuring efforts.

The rescue proceedings were instituted under Section 122 of the Insolvency Act, a legal provision that allows a company’s board to initiate voluntary corporate rescue if the company is in financial distress but has a reasonable prospect of recovery.

Truworths’ fall into financial difficulty reflects the broader challenges facing Zimbabwe’s formal retail sector, including declining consumer spending, inflationary pressures, and reduced access to working capital.

While the delisting marks the end of Truworths’ presence on the ZSE, the corporate rescue process remains underway, with stakeholders holding onto hopes of a successful turnaround.

The focus now shifts to whether the retail chain can restructure its operations and return to viability under the supervision of the appointed CRP.