UCHUMI TO CROSS-LIST ON DAR BOURSE, AUGUST 15TH

Dar es Salaam. Supermarket chain Uchumi hopes to cross-list on the Dar es Salaam Stock next month.

It has overcome some technical challenges associated with the Business Registration and Licensing Agency that made it difficult for capital market authorities to approve the cross-listing process.

“We are happy that we have fulfilled all the requirements and that we will officially cross-list on August 15,” Uchumi’s country manager Chris Lenana told The Citizen.

Uchumi CEO Jonathan Ciano told Business Daily in Nairobi at the weekend that the retailer had completed all the plans for its part for the rights issue. Uchumi is yet to disclose the offer price but it is normally a six-month weighted average share price plus a discount or premium.

It is anticipated that Uchumi’s rights will be sold across Kenya, Uganda, Tanzania and Rwanda, where the retailer will have cross-listed.

The chain cross-listed on the Rwanda and Uganda stock exchanges in October and November 2013 respectively but cross-listing on the Tanzanian bourse was awaiting regulatory approval.

In Uganda, the transactions will be handled by UAP Financial Services, in Tanzania by Rasilimali Limited while in Rwanda it will be Faida Securities Rwanda, a subsidiary of Faida Investment Bank Kenya which is the lead transaction adviser.

Mr Ciano earlier said that Uchumi would determine the percentage of shares to be made available in each country.