Jaggers finalises liquidation
HARARE – Creditors and stakeholders of Jaggers Wholesalers (Jaggers) and its subsidiary Jaggers Trador are expected to meet on January 30 to finalise the disposal of the remaining assets.
This comes on the back of the High Court granting a final order of liquidation of the retailer.
Proceeds from the disposal will be used to pay off debts.
Jagger owes creditors more than $13 million.
“If you are owed money by Jaggers for any reason whatsoever, and have not yet proved your claim please contact our offices so that you can collect and complete proof of claim forms……..all the creditors who lodged their claims in previous creditors’ meetings and had their claims in previous creditors’ meetings ….are not required to re-submit their proof of claims form again,” said liquidator Regis Saruchera of Grant Thornton.
Saruchera added that a duly appointed representative can still appear as proxy before the Master of the High Court in order to prove the claim.
This development comes as Cecil Muderede, the major shareholder in Jaggers through his investment firm Borlscade Investments, unsuccessfully applied for the rescission of a High Court order for the final liquidation in order to secure a new investor.
Creditors owed by Jaggers, including Marondera Foundry manufacturers, vehemently opposed Muderede’s application and a decision was granted by the High Court in their favour.
Muderede acquired Jaggers from Metcash, but failed to turn around its fortunes despite the adoption of a multi-currency regime.
In 2011, Jaggers assets went under the hammer to pay off $443 795 that the company owed to Delta Beverages.
Zimbabwean companies, particularly retailers and manufacturers, are struggling to survive in the dollarised economy with several shutting down or going under judicial management.
Food manufacturer Cairns Holdings (Cairns) was recently placed under provisional judicial management and its creditors are expected to meet next month at the High Court to decide the fate of the company.
Last year, the troubled company applied for voluntary judicial management after facing huge operational problems that included an $11 million debt burden, with efforts to raise some $20 million fresh capital hitting a brick wall.
Saruchera, also the provisional judicial manager, said his organisation was currently reviewing the books and records in preparation for the first meeting with creditors and members.
The meeting will be held on February 13.
“The purpose of placing companies under judicial management is to allow the affected companies to be nursed back to financial health thus permitting them to resume trading as successful enterprises,” said Saruchera.
Cairns was suspended from the Zimbabwe Stock Exchange last December following the judicial management.
The company, whose last trading share price was 0,5 cents, had lost 50 percent of its market capitalisation in 2012.
“If you are owed money by Cairns and its subsidiaries for any reason whatsoever, please contact our offices to collect proof of claim forms,” Saruchera said. – Business Writer