Standard Bank plc says its share split is a strategic move to make the bank’s stock more accessible to a broader range of investors and deepen financial inclusion through equity participation.
The development has seen the Malawi Stock Exchange-listed bank’s 234.6 million shares further subdivided and converted into 1.17 billion ordinary shares, representing five to one split with the split shares listed on Malawi Stock Exchange (MSE) on July 21.
Speaking in Blantyre on Wednesday during a share split engagement that attracted large and minority shareholders, MSE officials, market analysts, business captains and other businesspeople, Standard Bank plc board chairperson Chris Kapanga said the split confirms the bank as one of the most valuable counters on the 16-counter MSE, which corresponds to its consistent growth and profitability as a business for the 28 years the bank has been listed on the MSE.
“This is a huge historical milestone for us, Standard Bank as we found ourselves just a week ago with a share price trading at around K12 000, which is more than 3 700 times the growth in value since we initially listed on June 29 1998 when we firstly traded at K3.25 per share,” he said.
Kapanga emphasised that the share split has now seen shares trading at K2 140 per share, a move that also reaffirms the bank’s commitment to driving Malawi’s economic growth and national development
He further noted that this initiative also aligns with the bank’s broader goals of strengthening participation in the capital market and unlocking investment opportunities for more Malawians.
Said Kapanga: “We are confident that this revised price point significantly lowers the barrier to entry, enabling more Malawians from institutional investors to individual citizens to own a piece of Standard Bank and improve share availability on the market”.
“We believe finance should be inclusive, not exclusive. This is not just about shares, it is about sharing growth, opportunity, and national progress.”
In his remarks, Standard Bank chief executive Phillip Madinga said the share split underscores the ability of the bank to navigate risk while sustaining a profitable growth trajectory that focuses on safeguarding shareholder value and facilitating national economic growth.
He said: “Our journey has been guided by a commitment to innovation, inclusion and impact.
“We have built a business that doesn’t just chase profits, but also builds prosperity for our staff, customers and the entire nation while managing risk prudently and diligently.”
Madinga pledged the bank’s commitment to continue leveraging on a financial ecosystem that empowers individuals, strengthens businesses and uplifts communities in line with the bank’s purpose to drive the country’s growth.
MSE chief executive officer John Kamanga said the share split is an important milestone not only for the bank, but also for the stock exchange.
He said: “The share split has made shares of Standard Bank more affordable to shareholders.
“This is the best option of making the high-valued shares affordable to low-income earners and it can also help in terms of liquidity on Standard Bank shares.”
Stock market investor and finance expert Brian Kampanje said the move will enable shareholders to cash in part of their stocks without losing out on shareholding while also giving an opportunity for others to invest in Standard Bank shares.
He said: “This will enable minority investors earn substantial income while holding a sizeable number of shares.
“This will have a positive impact on the MSE as the number of issued shares rises and so will those changing hands.
“With neither initial dilution of shareholding nor requirement to pump in additional funds like in the case of rights issue, minority investors will be better off.”
Standard Bank plc shareholders approved the board’s proposal on share subdivision at its annual general meeting on June 26 this year.
Before the listing of subdivided shares, Standard Bank’s share price was at K12 000.
