Depositary Receipts (DRs) of the African Export-Import Bank (Afreximbank) has officially started trading on Stock Exchange in Mauritius on 5 October 2017. Their first day on the stock exchange topped the list of issuers in terms of capital raised prior to a listing.
The initial listing price was $4.30 per DR. 5000 DRs were listed as required by regulations. The DRs closed up at $4.40 per DR at the end of the day. This means a market capatilisation of more than $170 million.
Afreximband has been working with SBM Group, a leading Bank in the financial sector in Mauritius, to achieve the listing of the Depositary Receipts which is a big first for Africa’s equity capital markets.
According to the president of Afreximbank, Dr Benedict Oramah, investing in the DRs, holds many benefits for investors as investors would immediately diversify their risks across the 46 economies of the Bank’s African member states which will lead to diverse opportunities, vibrancy and risk profiles. Thus protecting themselves from country and currency risks.
BizNiz Africa describes the benefits of this new listing on the Stock Exchange of Mauritius, remarks of key role players and the future for the Bank and how it links in with the “IMPACT 2021: Africa Transformed” Strategy. To read the full article, please click here.