NAIROBI, Kenya, Jun 10 – Kenya Commercial Bank (KCB) has received the go-ahead to cross list its shares on the Rwanda Over the Counter Market.
Following the approval received on Tuesday from the Capital Markets Advisory Council (CMAC), its Executive Director Robert Mathu said the regulating body had put in place sufficient infrastructure and the requisite listing and trading rules to facilitate the process.
“The Board of CMAC has approved the cross-listing of 2,217,777,777 ordinary KCB shares of par value Sh1.00 each on the Rwanda Over the Counter Market,” Mr Mathu said.
He expressed optimism that KCB’s listing would pave the way for Rwandan companies to participate in the security market as well as enhance public awareness in financial products.
KCB Group Chief Executive Martin Oduor-Otieno said that the bank would make its shares available at the Rwanda Over-the-Counter (ROTC) market in the next few days.
“KCB becomes the first listed securities in the Rwanda Capital Market, which is great for us,” said Mr Oduor-Otieno.
The bank’s CEO noted that the move was imperative to the growth of Rwanda\’s stock market, which has only bonds listed on it.
“Listing KCB shares in Rwanda will help in the development of the capital market in that country and at the same time provide an investment opportunity to thousands of Rwandese willing to invest in the stock market, since it now makes it convenient for them to invest in the company without coming to Kenya or going to Uganda or Tanzania security markets,” Mr Oduor-Otieno observed.
This makes KCB the first company to list on the Rwanda Stock Market and also the first company to list on the four stock exchanges within the East Africa region.
The bank cross-listed its shares on the Uganda Securities Exchange and Dar es Salaam Stock Exchange in 2008.