DAR ES SALAAM Stock Exchange’s (DSE) self-listing starts in the next ten days, with the initial public offer (IPO) that envisages raising 7.5bn/-.
The IPO is expected to last for one
month before the stock market joins two of its African counterparts,
Nairobi Securities Exchange and Johannesburg Stock Exchange, to
self-list on own bourse. Principal Capital Markets and Securities
Authority (CMSA) Public Relations Manager Charles Shirima said the IPO
kicks off next week or the week after.
“The IPO will run for roughly one month,
before self-listing,” Mr Shirima said. He said the move seeks to
increase transparency and efficiency as the bourse legal structure
changes from limited by guarantee to limited by shares.
“The change will eliminate any conflict
of interest as DSE members were the trustees and stock brokers as well,”
he said. However, an industry source told ‘Daily News’ that the IPO was
earlier scheduled to kick earlier, with DSE proposing to start May 2,
2016 but technical hitches delayed the process of approving the
prospectus.
“The prospectus was sent to the
regulator early this year… but the approval took long than necessary,
delaying the IPO date,” the source said. The prospectus approval by CMSA
means the ball is on DSE.
After the prospectus, the bourse will
start road shows on marketing the shares which are expected to be
oversubscribed. DSE floats 15 million shares on the IPO at a share price
of 500/-.
Self-listing has many advantages
including enhancement of corporate governance within the exchange for
sustainable protection of all stakeholders. After completion of
self-listing process, the DSE will be known as Dar es Salaam Stock
Exchange Public Limited Company (Plc).
Stock self-listing is a new drive, which
started in 1993 when the Stockholm Stock Exchange was demutualised,
followed by Helsinki (1995), Copenhagen (1996), Amsterdam (1997), the
Australian Exchange (1998) and Toronto, Hong Kong and London stock
exchanges in 2000
No comments :
Post a Comment