Stanbic Bank Botswana has launched a 1.37 billion pula ($94 million) initial public offering to sell a 20 percent stake in the lender, marking the latest attempt to deepen local ownership and revive activity on the Botswana Stock Exchange after years without new listings.
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The offer comprises 319.4 million existing shares priced at 4.30 pula each, according to a statement issued by the bank on Friday. Stanbic Africa Holdings, a subsidiary of South Africa’s Standard Bank Group and the selling shareholder, will retain an 80 percent stake in the Botswana business after the sale.
Retail investors have been allocated 63.9 million shares, while the remaining shares are reserved for institutional investors. The public offer will close on November 27, with trading expected to begin on the Botswana Stock Exchange on December 7.
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The bank said the listing is intended to broaden local ownership, support citizen economic empowerment and encourage wider participation in the country’s capital markets. By making part of the business available to domestic investors, the offer will give individuals and institutions an opportunity to take an ownership position in a lender that has been part of the Standard Bank Group’s operations in Botswana.
The IPO is the third share offer on the local exchange in recent weeks, following a decade-long period without new listings. The recent activity could signal renewed interest in the market and provide a boost to efforts to attract more companies and investors to Botswana’s capital markets.
Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance.