Business / Companies
RBZ releases Meikles funds
07 Oct 2014 at 06:55hrs | Views
MEIKLES Limited says it will now have access to its funds held on deposit by the Reserve Bank of Zimbabwe and will inject approximately $4million into its retail division which it expects to return to profitability during second half of the current financial year.
The division consists of Meikles Stores, Barbours, and Meikles Mega Market. The group said the division's operations was severely constrained due to inadequate working capital following losses incurred as a result of stringent price controls imposed immediately before the introduction of multi currency system in 2009.
The stores were forced by regulations to sell inventories at prices below cost. In recent years, the group has operated without any benefit from its deposits held at the central bank.
"The group will now have access to its funds held on deposit at the Reserve Bank," the group told a daily paper.
The Meikles Stores will operate in all their traditional properties in Zimbabwe, but in space that will be smaller and more focused than in the recent past, said the group.
The remaining space in each unit will be occupied by Meikles Mega Market and in certain units by TM Supermarkets.
Meikles Mega Market is a rapidly growing participant in the Zimbabwe retail environment and more units will be added in the high density suburbs.
Meikles has also announced that it will establish hair salons in spaces that are not being fully utilized by TM and Meikles Mega Market.
The division consists of Meikles Stores, Barbours, and Meikles Mega Market. The group said the division's operations was severely constrained due to inadequate working capital following losses incurred as a result of stringent price controls imposed immediately before the introduction of multi currency system in 2009.
The stores were forced by regulations to sell inventories at prices below cost. In recent years, the group has operated without any benefit from its deposits held at the central bank.
"The group will now have access to its funds held on deposit at the Reserve Bank," the group told a daily paper.
The Meikles Stores will operate in all their traditional properties in Zimbabwe, but in space that will be smaller and more focused than in the recent past, said the group.
The remaining space in each unit will be occupied by Meikles Mega Market and in certain units by TM Supermarkets.
Meikles Mega Market is a rapidly growing participant in the Zimbabwe retail environment and more units will be added in the high density suburbs.
Meikles has also announced that it will establish hair salons in spaces that are not being fully utilized by TM and Meikles Mega Market.
Source - newspapers
