Bank of Kigali launches on Rwanda Stock Exchange

Rwanda’s largest bank, The Bank of Kigali, arrived on the eight month old Rwanda Stock Exchange this morning. I wouldn’t normally blog about something like this, but it’s the first story I have covered in my new job as the Rwanda-based foreign correspondent for Reuters. I’ll blog more on the job, and why I chose to take it on, in due course. Suffice to say, I’m really excited, not only about the job, but how it will help improve what I do on this blog. Here’s the first story (below) and more photos from the IPO launch,

Shares in Bank of Kigali, Rwanda’s biggest bank by assets, rose 8 percent to 135 Rwanda francs in their market debut on Thursday.

A lot of 60,000 shares was the first trade to go through after an initial public offer of a 45 percent stake in the bank by the government, which was met by huge investor appetite.

“We have our first deal at 135 Rwanda Francs. And it seems most of the sellers are looking to make a killing by bidding way above 80 percent to make a profit,” said Consolata Mburu, a trader at CFC Stanbic Financial Services, adding: “but it would seem that the price will stabilise between 130 and 150.”

Rwandan assets have been attracting plenty of interest as investors bet the central African nation will offer good returns as it develops its economy and capital markets from scratch.

Another IPO at the start of the year by brewer Bralirwa received a huge subscription rate. link

Photo taken from my Flickr account.