meikles and kingdom 13.10.10.jpgMeikles Africa Limited has demerged Kingdom Financial Holdings Limited from its operations, ending a two-year dispute between directors of the two firms about ownership of the financial institution.

 

The arrangement, which was approved by Meikles Africa shareholders at an Extraordinary General Meeting in Harare, means that Kingdom founder, Mr. Nigel Chanakira, has gained control of the bank after agreeing to swap his 6% stake in Meikles for Meikles Executive Director, Mr John Moxon’s 43% shares in Kingdom.

 

Meikles Africa Chairman, Mr. Farai Rwodzi, confirmed that the demerger of KFHL from the group has been finalised following consultations with shareholders.

 

“The entire issue has been resolved. Remember it was a long standing dispute that lasted for almost 2 years, but we have now managed to iron all the issues and Kingdom is no longer part of Meikles Africa Limited,” said Mr Rwodzi. 

 

Kingdom, Tanganda, Cotton Printers and Meikles merged in 2007, but the Kingdom/Meikles business relationship did not last for a long time due to corporate differences between Mr Chanakira and Mr Moxon.

 

The demerger has also been approved after the two founding directors agreed to resolve their shareholding structures following the intervention of the Ministry of Finance and the central bank.