Funfair as Old Mutual lists on Malawi Stock Exchange

Post was last updated: June 28, 2018

BY CAROLINE KANDIERO:

There was pomp and funfair in Blantyre Tuesday when Old Mutual Limited finally listed on the Malawi Stock Exchange (MSE).

The development followed the listing of the firm on the Johannesburg Stock Exchange earlier in the day.

Yesterday also saw the firm making a standard listing in London and secondary listings on the stock exchanges of Namibia and Zimbabwe.

The listing of Old Mutual Limited, which replaces Old Mutual plc, on the MSE has attracted a K9.2 billion capitalisation.

Malawi Stock Exchange Chief Executive Officer, John Kamanga, said the listing has culminated into about 5.5 million shares listed at the price of K1,580.22 resulting into a K9.2 billion capitalisation which has been listed on the stock exchange.

Kamanga said the listing of Old Mutual Limited is a sign of confidence and trust on the MSE and the economy as a whole.

“By making that strategic decision to remain on the MSE, it is a great achievement to us in the sense that Old Mutual has shown that there is confidence and trust on the MSE.

“Further to that, the listing has also given an avenue of investment to the Malawian population in terms of investing in Old Mutual. To us (MSE), it is a news of celebration, accomplishment in terms of taking the stock exchange to the general public whereby the investing community is given an avenue of investing in Old Mutual,” he said.

Stockbrokers Malawi Limited Chief Executive Officer, Noel Kadzakumanja, said the listing is very important to shareholders who were holding shares in Old Mutual plc.

He said even after the managed separation where the company is now divided into four segments Old Mutual still wanted to maintain its listing on the Malawi Stock Exchange through the listing of Old Mutual Limited.

“The shareholders have also been offered shares on the London Stock exchange through a company called Quita, which was a component of Old Mutual plc.

“At some point, we will see Nedbank also giving out shares to the shareholders, so basically, this is not a loss to the shareholder as the investment has taken a different form,” he said.

The company’s Group Chief Executive Officer, Edith Jiya, said Old Mutual is now officially anchored in Africa and is a giant step closer to its vision of being Africa’s financial services champion.

“As a company based in Africa and led by people from Africa who knows Africa, we are well positioned to unlock value for our shareholders and pursue the growth opportunities of Africa,” she said.

Jiya further said the strong customer-centric culture and powerful, trusted brand, combined with a far sighted mindset, will drive growth and operational efficiency thereby attracting more investors.

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