Following the completion of the company’s Initial Public Offering (IPO), 4614 Ugandans have become shareholders in Airtel Uganda.
Airtel became the second telecom firm to list on Uganda’s Security Exchange on Tuesday, after offering eight billion ordinary shares, or 20% of its shares, on the country’s stock exchange.
However, the corporation obtained shs211.4 billion, a 26% return, which was less than the projected shs800 billion during the offer, which has been running since August 30.
Airtel Uganda allocated eight billion shares, and 4.36 billion were subscribed for, representing 54.45 percent of the offer.
Each stake was sold for Shs100.
Following Bharti Airtel, the National Social Security Fund is now the second largest shareholder in Airtel Uganda, having purchased shares for Shs199 billion.
Keith Kalyegira, CEO of the Capital Markets Authority, praised Airtel Uganda for the historic achievement on Tuesday.
“This is a significant milestone that demonstrates investors’ growing confidence in Uganda’s economy.” This is a chance for the general public to participate in this rapidly expanding telecom firm. This increases the desire for investment possibilities in Uganda,” stated Kalyegira.
He stated that the listing lifts Uganda’s overall market value to shs11 trillion, or 6% of national GDP, which he described as a good milestone.
“This achievement is not only a win for Airtel Uganda but also a testament for Uganda capital markets as an investment destination.”
During the Airtel Uganda IPO, a total of 7000 Securities Central Depository (SCD) accounts were established by investors, according to Paul Bwiso, the USE Chief Executive Officer.
Manoj Murali, Managing Director of Airtel Uganda, stated that the listing represents a significant milestone in the company’s history.
“We are proud that when we offered shares in this company, many Ugandans came out to learn about Airtel Uganda and many took the time to buy shares.” We appreciate our partners’ contributions to this effort.”
Absa Bank Uganda served as the transaction advisor, with Crested Capital serving as the primary sponsored broker.
Airtel is now the 19th firm to be listed on the Uganda Securities Exchange.
Airtel, which entered the Ugandan market as Celtel Uganda in 1995, was the country’s first mobile cellular network and has developed at a rapid pace.
Airtel Uganda reported revenues, EBITDA, and net income of shs1.59 trillion, shs888 billion, and shs 326 billion as of December 31, 2022, respectively.
