Rwanda: Equity Banking Group Cross-Lists in Rwanda

Kigali, Rwanda — Equity Group Holdings, one of Kenya’s biggest banking concerns, last week became the fourth firm to cross-list on the Rwanda Stock Exchange joining the Uganda Securities Exchange and the Nairobi Stock Exchange.

“This is a major milestone in our development plan of truly becoming an East African Bank,” Equity Group CEO and MD, Equity Bank Rwanda James Mwangi said during a news conference held at the just concluded Capital Markets East Africa Conference in Kigali.

“This listing exhibits us as one of the listed companies in the whole region, waiting to cross-list on the Dar-es-Salaam Securities Exchange in March 2015,” Mwangi said.

Mwangi said, “The objective of cross-listing is to be able to support the capital markets and their development in the region.

“As a leading organization with the highest market capitalization in the financial sector we feel the obligation and responsibility to play our humble role in ensuring deepening and broadening the capital markets,” he said.

“Capital markets have a very significant role to play in mobilizing funds for long-term objectives particularly in investments in infrastructure. They are able to diversify and increase the range of products beyond the offering of banks,” Mwangi said.

EGH became the sixth company to list on the local securities market counter opening at Rwf415 and closing at Rwf420 with over 25,000 shares traded.

“EGH cross-listing on the RSE affirms the fact that this is not only a Kenyan company as it has been previously perceived but indeed a regional company,” Evelyn Kamagaju Rutagwenda, Board of Directors said.

She said, “This Company has given Rwandans an opportunity to invest in it, one of the biggest companies by market capitalization of over $2billion”.

CEO, Rwanda Stock Exchange Pierre Celestin Rwabukumba appreciated EGH for having chosen Rwanda as its second destination in terms of cross-listing after Uganda.

“The business EGH is doing in Rwanda is very good and we are taking them as a new good company, biggest to date on our market which is going to help our whole share index double in terms of capitalization which is very significant to us,” Rwabukumba said.

Rwabukumba said, “EGH in their plans want to give opportunities to Rwandans to be able to own shares locally, which is quite significant”.

CEO Capital Markets Authority Rwanda Robert Mathu said, “The significance of this is to introduce or list the shares of EGH on the RSE as it is currently listed in the other two exchanges in East Africa”.

He asked the group to take advantage and leadership of the capital markets integration initiative because of the success of business they have had over the last few years which has been able to enhance the welfare of very many people.

Other banks listed on RSE include the KCB Rwanda another subsidiary of the Kenya Commercial Bank, and Bank of Kigali.

15th February, 2015    Source: All Africa.com