25 Aug 2017 13:50pm
WINDHOEK, 25 AUG (NAMPA) Letshego Holdings Namibia has offered 20 per cent of its shares to the public as of Friday for N.dollars 4.70 per share.
The total value of the shares offered to the public is about N.dollars 470 million, and priority will be given to members of the public who come from previously disadvantaged backgrounds.
Announcing the floating of shares at a media conference on Friday, LHNs Chief Executive Officer Esther Kali said this was done to ensure maximum public participation and ownership of the LHN shares with priority for citizens.
She said citizen empowerment and potential for financial gain through share value growth and dividends are some of the benefits that could be gained through this opportunity.
This is also an opportunity for us to raise the profile of Letshego in Namibia among members of the general public, investors and target markets within Namibia, and to accelerate the rate of economic growth by stimulating entrepreneurship and investment, she stated.
LHN opened its doors in 2002 as Edu-Loan Namibia, providing consumer and micro-lending services.
In August 2008, Letshego Holdings Limited, a Botswana Stock Exchange-listed entity, acquired 100 per cent of the company, soon after which the company re-branded to Letshego Financial Services Namibia.
Currently, the Botswana Stock Exchange-listed entity owns 65 per cent of shares in LHN, whilst 15 per cent is retained by Kumwe Investments Holding in Namibia.
The Bank of Namibia has given the foreign-owned bank until the 2020 to comply with requirements that locals should hold at least 40 per cent equity in commercial lenders operating in the country.
LHN further indicated the possibility of floating more shares on the market to meet this requirement before the deadline.
Public members wishing to buy shares will have to read through the LHN Initial Public Offering (IPO) Prospectus, which contains information about the company and enables individuals to decide if they will purchase shares or not.
An individual will only be allowed to buy a minimum number of 200 shares, which means the least amount they can offer is N.dollars 940.
Thereafter, one an offer in units of 100 shares over and above the original 200 shares.
The closing date for members of the public to acquire shares is 22 September 2017.