• Voter paralysis

    With so much tilting voters against change, democratic reason is the loser, says Solly Moeng.

  • The power of perseverance

    True grit is a reliable predictor of who will achieve success in life, says Ian Mann.

  • It's the system

    The system sucks and it’s being used far too often as an excuse, says Mandi Smallhorne.

All data is delayed
Loading...
See More

Little interest in Zim's first IPO in 10 years

Jan 17 2016 11:02
Malcom Sharara

Harare - The Zimbabwe Stock Exchange (ZSE) received its first initial public offering in about 10 years with the listing of financial services firm GetBucks Zimbabwe on Friday.

GetBucks Zimbabwe, which becomes the 59th listing on the ZSE, is owned 55% by GetBucks Limited, a company registered in Mauritius with operations in eight African countries – South Africa, Zimbabwe, Zambia, Kenya, Namibia, Botswana, Malawi and Swaziland - and two European countries, Poland and Spain.

GetBucks Zimbabwe commenced operations in 2012 as a credit-only microfinance institution. It has since grown into one of the leading microfinance lenders in Zimbabwe, with a loan book of $11 600 480 as at June 30 2015.

The Reserve Bank of Zimbabwe recently licensed and authorised the company to conduct deposit-taking microfinance business with effect from January 6 2016.

One of the firm’s main reasons for listing on the ZSE is to raise a total amount of $3.2m, mainly for working capital purposes.

Bad timing played a role

The IPO, however, had one of the lowest subscription rates ever of 2.29%, with analysts saying the timing of the offering played a major role.

The IPO comes at a time when local retail and institutional investors have not seen much activity on the local stock market.

In 2015, at least 56% of the turnover was from foreign buyers.

The IPO, which opened late in December, also coincided with the festive season holidays - a quiet period for investors.

Only $5.8m worth of shares have been traded on the ZSE since the beginning of the year.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest. 24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

zimbabwe  |  ipo  |  africa economy  |  international markets

 
 
 
 

Company Snapshot

We're talking about:

THE DEBT ISSUE

Debt is one of the biggest financial issues facing South Africans today. Find out how you can avoid and manage your debt with Fin24 and Debt Rescue.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

Would you take out a payday loan?

Previous results · Suggest a vote

Loading...