HARARE – Diversified investment group Meikles Limited has agreed to sell its stake in the partnership that operates the iconic Victoria Falls Hotel to its long-standing joint venture partner, African Sun Limited, marking the company’s complete exit from Zimbabwe’s hospitality sector.
The transaction brings to an end Meikles’ involvement in the country’s hotel industry after previously disposing of the historic Meikles Hotel in Harare in 2019.
In a statement, Meikles said the board had initially intended to retain its interest in the Victoria Falls Hotel as part of its continuing operations. However, the company subsequently accepted an acquisition offer from African Sun.
“The Company had initially resolved to retain the operation as part of continuing operations, but subsequently received and accepted an offer from its joint venture partner to acquire its interest in the Partnership,” Meikles said.
The company said proceeds from the disposal will be redirected towards strengthening its core retail business, particularly its majority 51% shareholding in Pick n Pay Zimbabwe, reflecting a strategic shift towards retail-focused operations.
The Victoria Falls Hotel has been jointly operated by Meikles and African Sun on a 50:50 basis since 1998. The landmark property itself is owned by Emerged Railways Properties, a joint venture between the National Railways of Zimbabwe (NRZ) and Zambia Railways.
Operational performance at the hotel remained largely unchanged during the financial year ended February, with average room occupancy holding steady at 39%, matching the previous year’s performance despite continued growth in Zimbabwe’s tourism sector.
For African Sun, the acquisition further consolidates its presence in Zimbabwe’s hospitality industry. The listed hotel operator already manages several of the country’s leading tourism assets, including Elephant Hills Resort, Hwange Safari Lodge, Troutbeck Resort in Nyanga and the Holiday Inn hotels.
The purchase also follows African Sun’s recent portfolio rationalisation programme, under which it disposed of the Great Zimbabwe Hotel, Monomotapa Hotel and Caribbea Bay Resort as part of efforts to optimise its asset base and focus on strategically important properties.
The acquisition gives African Sun full operational control of one of Africa’s most recognised heritage hotels, while allowing Meikles to sharpen its strategic focus on retail and consumer markets as it reallocates capital towards its core business segments.
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