Integrated mobility solutions provider Zeda listed its shares on the main board of the JSE on December 13 after Barloworld unbundled Zeda as part of its strategy to create a business-to-business operating model focused on industrial equipment and services and consumer industries.

The listing of Zeda gives investors an opportunity to add to their portfolios a company at the forefront of mobility in Southern Africa, the JSE said.

“As a listed standalone business, Zeda will benefit from having its own dedicated executive management team and board of directors, who will oversee the company’s growth and expansion,” it added.

Zeda, which has long-term licence agreements to operate car rental brands Avis and Budget in Africa, listed on the JSE as the only company providing tailored short-, medium- and long-term car rental and vehicle fleet leasing services from within one service provider.

“Today is an important day in the evolution of not only our company but the future of mobility for the region. We have come full circle as we come back to the JSE as Africa’s largest and only integrated mobility solutions provider,” said Zeda CEO Ramasela Ganda.

“Our 55 years of operating have seen us navigate various trends in the operating environment. As a standalone business, we will be more agile in continuing to anticipate and respond to these trends including the current positive changes that we are seeing in mobility and more specifically the changes we are seeing in customer behaviour. Our Avis and Budget product proposition is one that is well positioned to leverage these opportunities and drive greater adoption of the usership economy,” she said.

Zeda has a presence in 11 African markets including Botswana, Ghana, Lesotho, Mozambique, Namibia, Zambia and South Africa, which is its home market.

Meanwhile, after the JSE introduced a raft of amendments to its listing regulations to cut red tape and improve efficiency, the bourse has seen a significant increase in the number of issuers that have listed securities such as equities, exchange-traded funds (ETFs) and sustainability bonds.

The amendments have also allowed issuers to list and trade new securities, including actively managed certificates and actively managed ETFs, which were previously not available on the JSE.

JSE capital markets director Valdene Reddy said she is delighted by the listing of Zeda, which will give South African investors exposure to a company with strong growth potential.

“This year, the JSE has seen growth in listings, not just listings of companies, but also the issuance of a wide range of securities including bonds and ETFs. As we close 2022, we are confident that the JSE will continue to attract new issuers next year as companies bolster their efforts to raise capital to finance their growth,” she explained.

Further, Zeda’s listing has increased the number of listed companies on the bourse to 305 with an overall market capitalisation of more than R21.84-trillion.

It is anticipated that, following the listing of Zeda, about 58.42% of the company’s shares will be held by public shareholders. The company issued 189.6-million shares when it listed.

In its maiden annual financial results, Zeda said it employs more than 1 700 people, and its fleet management and leasing business manages just more than 250 000 vehicles. For the year ended September 30, 2022, the company increased its revenue by 6.6% to R8.1-billion, of which 65% was generated from annuity contracts, protecting the company against cyclicality. Overall fleet utilisation was 79% and the return on equity was 32.7%, the JSE highlighted.