Zimbabwe Stock Exchange – listed entity, Cassava Smartech Zimbabwe Limited, will at its next Annual General Meeting, seek shareholder approval to change its name to EcoCash Holdings Zimbabwe Limited, the company has announced.
In a notice released Monday, the company said the decision to change its name is motivated by the need to differentiate its operations from those of other units under its major shareholder Econet Global Limited.
Econet Global Limited owns other businesses outside Zimbabwe that have the word “Cassava” in their name.
Apart from the common shareholder, such businesses are separate from the Company.
According to the company, the common name coupled with the fact that the business units have a common shareholder has brought confusion to various stakeholders.
“In order to avoid confusion and to align the name of the Company with the Company’s main operating subsidiary, EcoCash (Private) Limited, the company shall seek a Special Resolution of Members at the next Annual General Meeting to change its name from Cassava Smartech Zimbabwe Limited to EcoCash Holdings Zimbabwe Limited,” reads part of the notice to shareholders.
Cassava Smartech has already secured the written consent of the Registrar of Companies to change its name to EcoCash Holdings Zimbabwe Limited, subject to the provisions of Section 26 of the Companies and Other Business Entities Act, [Chapter 24:31].
However, pending the change of name approval at the next AGM, the directors have resolved that the Company shall use EcoCash Holdings Zimbabwe as its trading or assumed name effective 7th August 2021, subject to compliance with Section 29 of the Companies and Other Business Entities Act [Chapter 24:31] and any other approvals that may be required in this regard.
Cassava Smartech, which was demerged from Econet Wireless Zimbabwe a few years ago, operates four subsidiaries with mobile money services under Ecocash being the main operating subsidiary.
Also under Cassava Smartech is the banking services division where Steward Bank is the prominent one.
There is also the Insurtech business which has units like Ecosure for life insurance policies.
The fourth one is Vaya Technology Limited.
Meanwhile, Cassava said the Group’s inflation-adjusted revenues for the three months ended 31 May 2021 more than doubled, compared to the same period last year.
The Group said it remains “cautiously optimistic that this trend will be sustained,” but is also very conscious that a third wave of the pandemic could lead to additional restrictions on people’s movement and businesses in order to manage the spread of the virus.