Stanbic Bank launched on Ugandan stock market
STANBIC BANK will start trading on the Uganda Securities Exchange (USE) and industry players are expecting a flurry of activity on the Stanbic counter for the next few weeks.
The Stanbic share sale was expected to fetch sh70b, but more than sh200b was realised in bids from more than 35,000 applicants. Stanbic will refund sh140b to bidders who did not get their full allocation.
But since Ugandan individual bidders were more or less guaranteed their full allocation, institutional investors were left with negligible amounts compared to what they bid for.
Institutional investors both local and international laid sh113b on the table but only came away with sh7b or 6% of what they asked for. Currently, there are under 10,000 shareholders on the USE but with 15,000 subscribers to the Stanbic launch, you can expect a few thousand more Ugandan shareholders to be added to that list.