Cape Verde company launches first public share issue on islands’ bourse

13 August 2007

Praia, Cape Verde, 13 Aug – Cape Verde property and construction firm Tecnicil will be the first company from the archipelago to have its shares listed on the Praia stock exchange when it launches a public subscription offer this week for 750,000 shares.

The Praia stock exchange said the share issue was targeted at the public in general and aimed to raise finance for Tecnicil at a lower cost than loans from commercial banks.

The public subscription offer, of 750,000 shares priced at 1,000 Cape Verde Escudos each, is set to last for an “unspecified period” and the share launch Friday will mark a “new era in companies’ funding of major projects in Cape Verde”, said the chairman of the Praia bourse, Verissimo Pinto.

Pinto said the development of the Praia stock exchange would bring benefits to both banks and companies operating in the islands, as banks would be able to sell stock “and better manage risks.”

Companies will also be able to defer payment of loan shares and also have access to a wide range of investors, noted Pinto.

Tecnicil is a private Cape Verde real estate and property business with a share capital of 100 million Cape Verde Escudos.

Set up in 1996, the firm specializes in acquiring land and undertaking private and public construction projects, as well as urban housing developments and infrastructure projects. (macauhub)