By 
By Ross Moyo
The phrase Econet split has caused confusion in the market, with some readers interpreting it as Econet Zimbabwe breaking away from Cassava Technologies or from Strive Masiyiwa’s global group.
It is not. It is one company splitting itself into two.
For 28 years there was one listed entity: Econet Wireless Zimbabwe Limited on the Zimbabwe Stock Exchange. That one company owned everything — the intelligent network and the passive infrastructure that houses it.
That meant in one balance sheet sat the base station electronics, the core network software, the spectrum and telecom licences, the customer base and EcoCash on one side, and on the other side the steel towers, the diesel generators, the solar systems, the batteries, the land and the buildings.
In early 2025 the market was valuing that entire bundle at about 8 US cents per share on the ZSE. That implied a market capitalisation of about $239 million on revenue of $779 million. The board argued the ZSE, which traded in Zimbabwe dollars, could no longer price a US dollar infrastructure asset accurately.
In February 2025, shareholders voted to terminate the 28-year ZSE listing and approve a restructuring that would create two separate companies, both to be listed on the US dollar bourse, the Victoria Falls Stock Exchange.
How the assets were divided
The transaction divided the business along global telecoms lines — active versus passive.
Econet Wireless Zimbabwe remained as the active operator. It kept the intelligent network — spectrum, licences, radio equipment, core network, service platforms and customer operations. It is the company that today carries more than 82 percent of Zimbabwe’s internet and data traffic and about 88 percent of voice traffic.
Econet InfraCo was created as the passive infrastructure company. It took ownership of the telecom towers, the energy assets including generators and renewable systems, and the property portfolio. Its business model is now that of a TowerCo — it owns the infrastructure and leases space and power back to Econet Wireless and, over time, to other operators and tenants.
How it was listed
InfraCo did not raise new money. It listed by introduction on March 31 at a board reference price of about 33 cents per share. With about 3.03 billion shares in issue, that reference implied a $1 billion valuation.
The listing was followed by an unbundling. Econet Wireless Zimbabwe retained 70 percent of InfraCo. Twenty-five percent of InfraCo, worth about $250 million at the reference price, was distributed to existing Econet shareholders as a dividend in specie — meaning shareholders woke up owning InfraCo shares directly without paying for them.
Shareholders who elected not to remain invested in the new structure received $24.3 million in cash and 143.2 million InfraCo shares valued at $47.2 million.
Why a $309 million pullback is not a loss
InfraCo now trades at about 22.79 cents on the VFEX, according to exchange data. That implies a market capitalisation of about $691 million — a decline of roughly 31 percent or $309 million from the $1 billion introduction reference.
That reference, however, was never a traded market cap. It was a board-assigned starting point for a listing by introduction. A correction was expected once buyers and sellers discovered a market price.
Even at $691 million, InfraCo alone is worth nearly three times the $239 million valuation the market gave the entire Econet group before the split. When combined with the current VFEX value of Econet Wireless Zimbabwe, total shareholder value remains significantly higher than pre-restructuring levels.
Econet Global, associated with Strive Masiyiwa, controls about 47.5 percent of Econet Wireless Zimbabwe. Because Econet Wireless retained 70 percent of InfraCo at spin-out, Masiyiwa retains an indirect interest of about a third in InfraCo.
What the split unlocks is therefore not cash, but value that was trapped in a single ZSE counter — separating an annuity-driven tower and property business from a growth-driven services business where AI, fintech and data monetisation sit.
Comments