Centenary Bank plans to list 5%-10% of its shares on the Uganda stock exchange, following announcements from two shareholders to exit soon. The bank, which has substantial assets and a large customer base, could join other listed banks, enhancing its market presence. The exact listing timeline is yet to be determined.
Centenary Bank of Uganda has announced its intention to list a portion of its shareholding, estimated between 5% and 10%, on the local stock exchange. This decision follows the announcement by two of its shareholders to exit, as stated by Brenda Magoba, the company secretary and head of legal affairs, during a conference held in Kampala. Magoba noted that the specifics of the listing percentage would depend on regulatory approval.
While the exact timeline for the listing remains unspecified, it positions Centenary Bank to potentially join five other listed banks on the Uganda stock exchange, including Stanbic Bank, which is part of South Africa’s Standard Bank Group. Centenary Bank is among Uganda’s largest banks with assets totaling approximately 7.1 trillion Ugandan shillings (equivalent to $1.94 billion) and a customer base of 3.1 million.
The bank is predominantly owned by Ugandan Catholic dioceses, while minority stakes are held by various European funds, such as France’s Solidarity International Development Investment (SIDI). The previous initial public offering on the Ugandan stock exchange was conducted in 2023, featuring Airtel Uganda, which offered 20% of its stake.
Centenary Bank’s plan to list a minority stake on the local stock exchange marks a significant development in its corporate strategy and could enhance its visibility in the banking sector. As it seeks to comply with regulatory benchmarks and accommodate exiting shareholders, this move places Centenary Bank alongside several other major banks in Uganda that are publicly listed, signaling a potential expansion in investor interest and participation in the local financial market.
Original Source: www.tradingview.com
