Board evaluations for effective governance in Zimbabwe

The idea of self-assessment is one that is uncomfortable to many individuals. It is a daunting task because of the fear of discovering inadequacy or some other insufficiency during the process. More so for those individuals in the public eye or those held with high regard in society, as they are more likely to suffer

Is Nominee shareholding legal in Zimbabwe?

Nominee shareholding is an increasingly common phenomenon within the corporate sector in Zimbabwe. In light thereof it is prudent to note the important developments introduced under the Companies and Other Business Entities Act [Chapter 24:31] (hereinafter “COBE”). The old Companies Act did not address the issue in any detail, however COBE rather comprehensively regulates same.

Types of Merger Structures Permissible Under Companies & Other Business Entities Act [Chapter 24:31]

Introduction The Companies and Other Business Entities Act (hereinafter “The COBE Act”) which came into force on the 13th of February 2020 introduced a statutory merger procedure. The COBE Act was widely drafted with the aim to introduce and permit various merger structures. In this regard the provisions of section 229 of the COBE Act

The Concept of a Shadow Director under Zimbabwean Company Law

Definition of a Shadow Director A ‘Shadow Director” is defined as a person who has not been formally appointed as a director but has influence or control over the company directors in such a way that he or she gives instructions or directions to the company’s board of directors which the directors are accustomed to

Corporate Governance: Putting The Role of the Chairperson Into Perspective

While the role of Chairperson has become increasingly important as a result of the increasing pace, size and complexity of business activity globally, most directors only have a vague understanding of what the Chairperson’s job actually entails. From a legal perspective, Zimbabwe’s Companies and Other Business Entities Act does not provide any definition of the

Corporate Rescue Proceedings in Zimbabwe under the Insolvency Act Chapter 6:07

In this blog post, we unpack the corporate rescue proceedings in the relatively new Zimbabwean Insolvency Act No. 7 of 2018 (hereinafter “the Act”). The previous Insolvency Act [Chapter 6:04], now repealed by the new Act, did not legislate corporate rescue. Therefore, previously a company could be rehabilitated using the judicial management provision in the

Shareholders role in Corporate Governance under the Companies and Other Business Entities Act [Chapter 24:31] in Zimbabwe

[i] Author – Beatrice Moyo Corporate governance is the practice by which companies are managed and controlled to ensure responsible behaviour of the company, and to achieve maximum level of efficiency and profitability. Corporate governance seeks to, amongst other things, balance the interests of internal and external stakeholders, one of the material stakeholders, being the

Board Composition: The Companies and other Business Entities Act (Chapter 24:31)

The board of directors is the custodian and focal point for corporate governance. The composition of the board is therefore crucial to enable it to effectively carry out its governance role and improve corporate governance in any company. It is thus essential for all companies to strive to achieve the right mix and balance of