Airtel lists on stock market
Share price up 41.7 percent
Airtel Malawi plc share price jumped by 41.7 percent on day of listing on the Malawi Stock Exchange (MSE) Monday.
The company entered the market with an opening price of K14 per share and closed the day at K17.71.
In its Initial Public Offer, Airtel was trading its shares at K12.69. Over 1.2 million shares were traded on the first day.
Speaking after officially listing on the local bourse, Airtel Malawi plc Managing Director, Charles Kamoto, pledged to keep the company in good shape for the benefit of investors.
“It is difficult to predict what happens next but for us as management and leaders of Airtel Malawi plc, our role is to ensure that the company performs and we will do that with utmost diligence and hopefully with the excitement on the market will lead to further growth of the company,” Kamoto said.
MSE Chief Executive Officer, John Kamanga, attributed the development to stability of macroeconomic fundamentals.
“Interest rates, especially on the money market are low at around 7 to 9 percent and most investors are looking for instruments which can give them good returns and those who subscribed at K12.69 already have gained by 41 percent which is way above interest rates,” Kamanga said.
Reserve Bank Governor, Dalitso Kabambe, encouraged other companies to follow suit and make the market more vibrant.
Minister of Information and Communications Technology, Mark Botomani, lauded the company for listing.
Airtel Malawi IPO closed on January 31, recording an oversubscription of 34 percent.