AHL Group to list on MSE
Newly rebranded AHL Group, formerly Auction Holdings Limited, says it plans to list on the Malawi Stock Exchange (MSE) as part of its growth strategy.
The company, which has been in existence since 1938 and renowned for its contribution to tobacco marketing business over the years, says currently it is just ‘building momentum’ before undertaking an Initial Public Offering (IPO) on MSE main board.
“Listing is on the cards, we are taking one step at a time. It [listing] is something that has come throughout our board meetings and we are looking into it,” said AHL Group chief executive officer Evans Matabwa in an interview in Lilongwe.
MSE, which has been in existence since 1994, started equity trading in November 1996 when it first listed Nico Holdings Limited then National Insurance Company Limited.
The 14-member counter stock exchange provides facilities for the listing of the securities of companies both domestic and foreign and provides its users with an orderly market place for trading in such securities.
“If you are listing, obviously you have to be attractive at IPO state. So, I think we are building the momentum and at an appropriate time, certainly, we will explore this mater of listing,” added Matabwa.
Hence, if AHL Group plans to list on MSE materialises, the market would accommodate 15 counters, a situation MSE operations manager John Kamanga described as health to the growth of the securities market.
Kamanga, speaking in a telephone interview from Blantyre on Saturday, said MSE looks forward to the listing of AHL Group which he said already meets some listing requirements in terms of number of its shareholders and in terms of its profit history.
Said Kamanga: “The company is already public and has shareholders of more than 300 which is one key requirement and in addition, the company will not require a prospectus because it is already public.”
A prospectus is a formal legal document, which is required in stock exchanges and provides details about an investment offering for sale to the public so that would-be investors make an informed investment decision.
Kamanga also saluted AHL Group for its good track record of profitability, which is one key precondition for listing.
Currently, the listed counters on MSE include Blantyre Hotels Limited, FMB, Malawi Property Investment Company Limited (Mpico), National Bank of Malawi, NBS Bank, Nico Holdings Limited, National Investment Trust Limited, Press Corporation Limited, Standard Bank Limited, Sunbird Tourism Limited and Old Mutual.
