I&M bank IPO opens at Rwf90
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The Initial Public Offering (IPO) for I&M Bank was Tuesday morning launched and will lead to the sale of the 19.81 shares the Government of Rwanda owns in the bank to the public.
The shares will subsequently be listed on Rwanda Stock Exchange (RSE).
The I&M IPO is in line with the government’s policy of divesting from public enterprises and is expected to contribute towards the development of the capital markets, according to a statement.
I&M Bank is the oldest commercial bank in Rwanda.
The IPO was opened at Rwf90 and the minimum shares one can buy are 1,000. In total, the government shares floated are 99,030,400.
According to the Minister for Finance and Economic Planning, Claver Gatete, the government is committed to the development of capital markets as a means of building a strong foundation for long-term financing for both private and public sector.
“Accordingly, to have government shares in the oldest bank in Rwanda sold to the public is a confirmation of government’s confidence in I&M Bank in particular and the financial sector in general,” the minister said.
Speaking at the event, Robin Bairstow, the Managing Director of the bank, said the IPO gives an opportunity to ordinary Rwandan to acquire shares in the institution which he said has a rich heritage, spanning 53 years.
“This offer is therefore a strong vote of confidence in the bank’s performance over the years,” Bairstow said.
This is the third time the government is listing its shares in an enterprise, following Bralirwa, the country’s oldest beverages maker and Bank of Kigali.
In total, there are four locally listed companies on Rwanda Stock Exchange.
Besides the above mentioned companies, MTN Rwanda is also trading shares through Crystal Telecom, a subsidiary of Crystal Ventures Ltd.