Sale of 10 pct of Mozambican insurance company Empresa Moçambicana de Seguros sees demand of 107.47 pct

17 October 2013

The Initial Public Offering (IPO) of 10 percent of shares representing the capital of Mozambican insurance company Empresa Moçambicana de Seguros (Emose) has had demand of 107.47 percent, or 7.47 percent more than the available shares, and the operation netted the company US$10 million, the Maputo stock Exchange said Wednesday.

The IPO, which was exclusively for Mozambican investors, is the result of the sale of 10 percent of the State’s stake in Emose, and the State now has 39 percent of the country’s oldest insurance company.

According to a statement published by the Mozambican Stock Exchange (BVM), the offer of 15.7 million ordinary shares, at a unit price of 20 meticals received over 16.8 million buy orders.

The operation, which was organised by Mozambican bank Banco Comercial de Investimentos (BCI), the operation was launched on 23 September and ended last Wednesday, attracting 1,110 investors – “1,064 individuals and 46 companies” – who had to subscribe a minimum of 50 shares.

The shares are due to be listed and available to trade on the stock exchange on 28 October.

Set up in 1977 following the merger of three colonial era insurance companies – Nauticus, Lusitana and Tranquilidade de Moçambique – until now Emose’s shareholders were the Mozambican State (49 percent), State stake-holding company IGPE (31 percent) and the Emose Workers’ Cooperative (20 percent). (macauhub)