Rwanda is set to kick-off its divestment programme through the capital market, following government’s official communication that it will float 25 percent in Bralirwa on the country’s bourse, making it the first Initial Public Offer (IPO) in Rwanda’s history.

No official date has been set for the listing of Rwanda’s leading bear and soft drink manufacturer but government officials expect it could be at the end of this year or early next year.

"Government of Rwanda wishes to offer to the public 25 percent of Bralirwa shares through an IPO on the Rwanda Over The Counter (OTC) market under the on-going privatisation programme and the need to develop the capital market in Rwanda,” a statement inviting professional firms to express interest for the provision of advisory services for the IPO reads in part.

Government holds 30 percent in Bralirwa while Heineken is the majority shareholder with 70 percent. 

The Ministry of Finance and Economic Planning said in a statement that government is seeking to hire a lead sponsoring stockbroker, co-sponsoring broker, legal advisor, public relations firm, receiving bank, share registrar and a reporting accountant.

Vincent Munyeshyaka, Chairman of the Capital Market Privatisation Committee (CMPC), a team that is overseeing and coordinating the process of divesture through the capital market on behalf of government told Business Times that the firms will advise government in different capacities.

He did not disclose the details of Bralirwa’s IPO, saying that he must manage the market expectations.

He said government is targeting four more companies which include; cement manufacturer Cimirwa, insurer Sonarwa, Commercial Bank of Rwanda (BCR) and MTN Rwanda—a local unit of MTN South Africa.

The Rwanda OTC market currently lists three treasury bills, BCR corporate bond and one cross listing from Kenya Commercial Bank Group, which has a subsidiary in Rwanda.

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