BTCL shares on sale

SHARE   |   Wednesday, 06 January 2016   |   By Kabelo Adamson
BTCL shares on sale

Botswana Telecommunications Corporation Limited (BTCL) will on Monday finally start conducting the Initial Public Offering (IPO) of its shares. The IPO, expected to run for a period of eight weeks until 04 March 2016, will see 462 million shares made available for purchase during the offer period. The shares will be sold at P1.00 per share with a minimum subscription of 1000 shares per investor.

A maximum number of shares one can subscribe has not been set, however in the event of an over-subscription, it is noted that the order of preference in terms of allotment and allocation will be natural persons who are citizens of Botswana followed by corporate entities registered or operating locally. Proper trading is expected to start on 08 April 2016 when BTCL finally lists on the Botswana Stock Exchange (BSE). The company expects to raise P250 million during the offer period which will be used as a working capital and to fund capital expenditure in relation to the growth of the company.

According the BTCL listing prospectus which was released towards Christmas day, the purpose of listing the organisation which was formed in 1980 is to provide citizens of Botswana with an opportunity to share the company’s growth and its profits. The listing is again expected to raise the company profile and investor awareness of BTCL locally and also enable the government to privatise BTCL in line with the Privatisation Master Plan of 2005 and lastly to raise equity capital for the company.