Nairobi bourse to list 38% stake

The Nairobi Securities Exchange would sell up to a 38 percent stake in an initial public offering (IPO) by the end of next month to raise funds for new products and enhance transparency, its chief executive, Peter Mwangi, said yesterday. He said the owners of the Kenyan bourse, a mutual company held by brokers, would offer up to 81 million shares of 4 shillings (R0.47) each, amounting to 38 percent of its total capitalisation, subject to regulatory approval. The actual offer price would be set by the IPO advisers at a later date. “We want to list through an IPO on the main market. We need to open this listing before June 30,” Mwangi said. “That conversion from a private to a public company will position us to be a very effective player.” – Reuters


Coal, oil licence bids open soon

Mozambique would open fresh bidding for coal exploration licences in the central Tete province by next week, with oil and gas tenders to follow soon, Mineral Resources Minister Esperança Bias said yesterday. “Between this week and next we will issue new bidding as we are going to revoke some licences”, where the holders did not fulfil contractual requirements, Bias said. She did not say what areas would be included in the bidding process. Rio Tinto and Vale are among mining companies with coal operations in the country, while Eni and Anadarko Petroleum are among those awarded exploration and production contracts at the offshore Rovuma Basin, site of the biggest gas discoveries in a decade. Bias said: “We are only waiting for the mining law to be approved by parliament.” – Bloomberg


Big maize crop to bring surplus

Malawi expected to harvest 3.9 million tons of maize this year, an 8 percent rise from last year, boosted by good rains and farm subsidies, a government official said yesterday. Jeffrey Luhanga, the principal secretary in the Ministry of Agriculture, said with an annual maize consumption of about 2.9 million tons the country would have a surplus of about 1 million tons. Countries with a surplus crop mostly export to neighbouring countries in deficit. – Reuters