Business

SEC registers CETZAM

Financial services firm in possible listing on LuSE
ESTHER MSETEKA, Lusaka
THE Security Exchange Commission (SEC) has registered CETZAM Financial Services Limited, a micro-financial institution (MFI) for possible listing on the Lusaka Stock Exchange (LuSE) to raise long-term capital.
LuSE chief executive officer Brian Tembo confirmed in an interview recently that at some point, the MFI will start trading on the exchange to join over 20 listed firms.
Mr Tembo said, “CETZAM has registered its securities…but have not approached the exchange yet for a listing or capital raise. At some point in future, they will offer their shares to the public.”
On the directive by President Sata to ensure that state-owned enterprises (SOEs) list on the LuSE to improve their capital base, the LuSE has made follow-ups by advising them to take up the option to use the capital markets to raise funds.
He cited companies like Zanaco and ZCCM Investment Holdings as some of the parastatals that have registered on the capital markets.
“We are there to give support as a market, whenever they want to come and list. Government should come up with a support structure other than just directing the companies to come on the LuSE,” he said.
However, LuSE is confident that Government will advise companies to go on the exchange as it is a way of increasing governance in SOEs and also instilling financial discipline because “the companies will now live in glass houses, open to the public scrutiny”.
Mr Tembo said this initiative by Government will help bring meaningful financial transformation to most of the companies that will list on the market.
During the opening of the fourth session of the eleventh National Assembly, President Sata directed Secretary to Cabinet Roland Msiska to operationalise the Industrial Development Corporation and instruct SOEs to list on the LuSE to improve their capital base.

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