Oil and gas exploration company Invictus Energy has successfully completed its listing on the Victoria Falls Stock Exchange (VFEX), with trading commencing today, Mining Zimbabwe has learned.
By Rudairo Mapuranga
The listing is part of a strategic US$10 million Zimbabwean Institutional Placement, with Mangwana Capital, the National Social Security Authority (NASSA), and the Public Service Commission (PSC) investing in the company. This investment is driven by the potential of the Cabora Bassa Project in Muzarabani.
The listing ceremony took place on Friday, 2 August 2024, marking the conclusion of the company’s US$10 million Institutional Placement launched on 29 July 2024 and managed by Mangwana Capital (Private) Limited. The event was graced by senior Zimbabwean government officials, including guest of honour Minister of Finance Hon. Prof. Mthuli Ncube, Minister of Energy Hon. Edgar Moyo, Minister of State for Mashonaland Central Hon. Cpt (Rtd) Christopher Magomo, Mutapa Investment Fund Chief Investment Officer Simba Chinyemba, Zimbabwe Stock Exchange representatives, and various institutional investors.
Invictus worked closely with long-term shareholder Mangwana Capital, which sponsored Invictus’ VFEX listing and managed the issuance of Invictus Zimbabwean Depositary Receipts (ZDRs). Trading of the company’s securities on the VFEX commenced today, with the ticker code INV.vx.
According to Invictus, the VFEX listing is a strategic move that allows Zimbabweans to invest in and trade securities in the company, which is expected to see significant demand. Trading on the VFEX can occur in concert with, but independently of, trading on other exchanges where Invictus is already listed, including the Australian Securities Exchange (ASX) and the mid-tier over-the-counter North American Venture Market (OTCQB).
US$10 Million Placement Underwritten by Mutapa Investment Fund
The Placement, completed on 1 August 2024, is historic for Invictus, with US$5 million underwritten by the Mutapa Investment Fund of Zimbabwe. As the Sovereign Wealth Fund of the Republic of Zimbabwe, Mutapa will also play a leading role in assisting the company and government in finalizing a Petroleum Production Sharing Agreement (PPSA).
The PPSA aims to ensure a fair and equitable distribution of value generated from the Cabora Bassa Project among the government, Invictus, and its partners, while also providing a robust governance framework to manage the project into the future. Mutapa’s underwriting underscores long-term support for the Cabora Bassa Project on behalf of the Republic of Zimbabwe, while several other strategic investors participated in the Placement. The funds raised will help Invictus progress its near-term exploration and corporate strategies as the company transitions from exploration to development.
Comments from Key Stakeholders
Scott Macmillan, Managing Director of Invictus Energy, commented on the completion of the listing:
“This Placement and associated listing of Invictus on the VFEX enable greater and ongoing domestic investment in the company and our Cabora Bassa project. Mangwana and Invictus have worked hard to enable greater participation in the Cabora Bassa Project’s future and the value it can generate at a domestic Zimbabwean level. I thank Mangwana, Mutapa, and our line ministries within government for supporting our commitment to moving the Cabora Bassa Project forward towards potential game-changing development and contribution to the nation’s energy mix. Funds raised through our recent Placement will be used to progress our dual strategy of early monetization as well as further development of Cabora Bassa as we look to expand our resource base through further discovery and transition into development.”
Simba Chinyemba, Chief Investment Officer of Mutapa, remarked:
“By underwriting Invictus Energy’s private placement on the VFEX, Mutapa Investment Fund is not only making a sound financial decision but also taking a decisive step towards empowering a homegrown company with the potential to transform our energy landscape. This investment is a testament to our confidence in Invictus Energy’s value and technical expertise, and their unwavering commitment to responsible resource development.”
Minister of Finance, Hon. Prof. Mthuli Ncube, also shared his thoughts:
“The Government has consistently advocated for increased local involvement in nationally significant projects. The listing of Invictus Energy ZDR, led by Invictus, Mangwana Capital, and MMC Stockbrokers, underscores our commitment to empowering local stakeholders and fostering an environment conducive to sustainable economic growth. Through this listing, VFEX will tap into new markets, attract a broader range of investors, and provide an additional funding channel for economic growth.”