TRYNESS MBALE, Lusaka
IKULILENI Investments Plc intends to float over 27 million ordinary shares on the Lusaka Stock Exchange (LuSE) to afford the public and selected institutional ownership in the company.
The company incorporated and registered in Zambia last year owns 11.9 percent of MTN Group Limited’s Zambian unit.
According to a statement availed to the Daily Mail by LuSE on Wednesday, the process will be subject to fulfilling the conditions of the requisite approvals from LuSE and the regulators, Securities and Exchange Commission (SEC).
“Ikulileni Investments plc has today [Wednesday ] confirmed its intention to list its issued ordinary shares, being 27,061,057 ordinary shares with a par value of K0.01 each, on the main board of the exchange operated by LuSE,” the statement reads.
Pangaea Securities Limited is the sponsoring broker for the company’s initial investment will be in equity securities of MTN (Zambia) Limited, thus allowing the company’s shareholders to hold shares in MTN Zambia indirectly through the company, participate in the potential growth of MTN Zambia and any other future investments made by Ikulileni Investments Plc.
“Through the offer…the Zambian public and, potentially, selected international institutional investors will directly be subscribing for ordinary shares in the company and not shares in MTN Zambia,” the statement notes.
The statement indicates that the listing will be preceded by an offer for subscription by the company of 7,849,057 ordinary shares and an offer for sale of 5,279,220 ordinary shares by Munyati Buffalo Zambia Limited, which is one of the firm’s existing shareholders, respectively, at the offer price of K26.50 per subscription share and sale share.
The company will be a listed investment vehicle with the ability to invest in listed or unlisted equity securities of Zambian companies. The company’s initial investment will be in MTN Zambia.
This entails that, “the subscription and sale shares will collectively offer shares to the Zambian public and, subject to preference being given to the Zambian public in the allocation of the offer shares, to selected international institutional investors,” the statement reads.
The offer for the condition is that at least 25 percent of the shares be held by at least 300 public shareholders, unless the LuSE determines otherwise.