By: Nghiinomenwa Erastus
Ordinary Namibians and institutional investors will have a chance to own a share in MTC from 20 September to 1 November 2021.
The government has let go of its 49% ownership in MTC unleashing 367,5 million ordinary shares worth between N$3 to N$3,5 billion.
According to the statement released Friday by Leon Jooste, the Minister of Public Enterprises, the country experiences a substantial amount of capital flight looking for growth platforms elsewhere.
“Currently, a significant amount of savings leaves the country for investment outlets in other countries,” said Jooste.
He said these savings can now be invested at home in MTC.
“Through our pension funds and insurance policies many Namibians will now become shareholders of MTC,” explained Jooste.
By the end of the first quarter of 2021, Non-Banking Financial Institutions (NBFIs) have total assets of N$357,6 billion- two times greater than the Namibian economy.
Further, even retail investors with some savings in banks can use those savings to buy shares that may give them better returns, added Jooste.
This will be the first public enterprise (commercial state-owned enterprises) that will be listed on the Namibia Stock Exchange and indications are that this will be the largest listing in the history of Namibia.
According to Jooste, the listing is a demonstration of the government’s commitment towards public enterprise reforms.
Moreover, is aimed at creating a new mindset as a listed company adhering to international best practices of corporate governance.
He also explained that the listing will broaden economic participation through ownership by ordinary Namibians in a profitable public entity.
The listing will also encourage a culture of shared ownership by historically disadvantaged individuals while ensuring broad-based economic empowerment in the retail offer.
“As a government, we have taken the decision to create this unprecedented opportunity for members of the Namibian public to become shareholders in one of Namibia’s most profitable companies,” said Jooste.
The public offering is co-sponsored, PSG and IJG.
People can apply for the shares through the MTC website, Mobile homes, and Nampost outlets. Email: erastus@thevillager.com.na
