Vodacom share listing on DSE pushed back

Tanzania's largest telecommunications company, Vodacom, is on the brink of being listed on the Dar es Salaam Stock Exchange (DSE). However, the process has hit a snag as the Capital Markets Authority is expected to grant a 10-day extension to allow foreign investors to purchase shares in the company. The initial deadline for the listing has been pushed several times, with the latest extension aimed at encouraging more foreign participation in the IPO. In a recent interview on CNBC Africa, Alpha Marwa, Investment Advisor and Partner at Vervet Global, shed light on the challenges and opportunities surrounding the Vodacom listing. Marwa highlighted the importance of transparency, ethical financial practices, and the need for increased foreign involvement in the IPO. The listing, which has already garnered significant interest from local investors, is now looking to attract global investors to ensure its success. With over 40,000 Tanzanians already subscribed for shares, the focus is on diversifying the investor base and maximizing the potential capital raise for Vodacom. "The end goal is to increase foreign involvement as well," Marwa emphasized. The company had initially aimed to raise $213 million through the IPO, but with the introduction of foreign shares and heightened interest, the final amount could exceed expectations. Marwa expressed optimism about the level of foreign appetite for Vodacom shares and the potential for full subscription once the extension is approved. Vervet Global, as a key player in the listing process, is focused on promoting long-term value and transparency for both local and foreign investors. Marwa emphasized the importance of communicating Vodacom's financial standing, operational plans, and market reputation to potential shareholders. By instilling confidence in the company's growth prospects, Vervet Global aims to attract a diverse range of investors and ensure the success of the IPO. The Vodacom listing is poised to be a market changer in Tanzania, setting a precedent for future IPOs in the telecommunications sector. The company's strong brand presence in Africa and robust growth outlook make it an attractive investment opportunity for both local and international investors. As the listing awaits final approval from the Capital Markets Authority, all eyes are on the 10-day extension that will pave the way for foreign participation in Vodacom's IPO. With the potential to exceed the initial fundraising target and attract a diverse investor base, Vodacom's listing on the DSE could mark a significant milestone for the Tanzanian capital market. Stay tuned for more updates on this developing story.