, NAIROBI, Kenya, July 3 – African manufacturing group Flame Tree Group has announced plans to list on the Growth Enterprise Market Segment of the Nairobi Securities Exchange in the fourth Quarter of 2014.
The Group’s Chief Executive Officer Heril Bangera says the listing is intended to give access to public equity capital as well lower cost debt capital and to improve corporate governance.
“We will be offloading 15 percent of shares to the public, as we seek capital to expand in the East African region, increase our fast moving consumer goods and take business to the next level,” Bangera told Capital FM Business.
The group has appointed Burbidge Capital as nominated adviser, Coulson Harney as legal adviser and PKF Kenya as reporting accountant.
Flame Tree Group manufactures and distributes plastic tanks that include Roto Tank and packaging for construction and Fast Moving Consumer Goods wholly owned subsidiaries including female cosmetics products, which are sold under the Zoe brand in leading retail outlets in the country.
The group is based out of Mauritius and has operations in Kenya, Dubai, Rwanda, Ethiopia, Sudan and Mozambique.
“I am very excited to be taking this step forward with the board and management Team at Flame Tree, We are committed to offering value to our future shareholders from the start and sharing with them the financial and social benefits of creating a pan African Group” he said.
On his part, Burbidge Capital CEO Edward Burbidge was confident that it would become a catalyst for the many high growth companies in the region to follow suit.
“The Flame Tree Group listing is intended to be a win-win for existing and new shareholders alike. We believe this will also propel the GEMS market forward and contribute to the future growth of the local capital markets.” Burbidge said.
In 2013, Flame Tree Group made Sh2.2 billion in revenue.