Celtel Zambia has announced its intentions to list 20 per cent of its shares on the Lusaka Stock Exchange (LUSE).
Celtel Zambia managing director David Venn made the announcement at a media briefing in Lusaka today.
Mr. Venn explained that the company has so far applied for primary listing on the LuSE and an indicative date for opening of the ordinary share offer to the public has been set for 28th April this year.
He said the 20 per cent shares represent over one billion out of the over 5 billion total shares that the company has in total.
Mr. Venn added that the offer price per share will be communicated to the public before the offer opens and the necessary regulatory approvals have been granted.
And speaking at the same occasion Commerce Trade and Industry minister Felix Mutati said the listing of shares on the LuSE is an instrument for empowering Zambians economically.
Mr. Mutati said the move would also increase participation among Zambians in the country’s economy.
He said Zambians should take the opportunity to invest money into the company in order to gain higher returns on the stock exchange market.
The commerce minister has since urged other companies especially in the mining industry to emulate Celtel Zambia Limited by listing part of their shares on the Zambian stock exchange market.
And earlier communication and transport minister Dora Siliya said the move by Celtel to list some of its shares is a good response to the macro economic growth the country is currently experiencing and to the Information communication technology.
She disclosed that government this year intends to spend K800 million on the development of ICT in rural areas of the country.
Ms. Siliya added that government last year spent K100 million towards rural ICT development to enable the rural population access information to uplift their lives.
She assured the nation that government will continue to invest in the ICT sector as it is key to contributing to national development.
She has since commended the mobile phone service provider company for its intention to offload 20 percent of its shares to Zambians.
Celtel Zambia limited is currently the largest cellular network company in the country with approximately 2 million subscribers on its network.
This is a step in the right direction. I hope more shares will be offloaded to the public in future. We need to educate the public about the importance of investing and owning shares and property. Bravo Celtel!
Yes so we can share the spoils, they have been eating alone for a long time, it’s time
Nomand:
You are absolutely right. That is what we should be telling our people rather than crazy complaints about investors.
Yes #3, that is the way forward and not the Mugabe style! They are doing this in South Africa by passing a law that will compel big companies to have a certain percentage owned by black indeginous South Africans. Chasing the whites is not an intelligent solution. We need as many Zambians as possible owning property and shares in these big companies. Government must consider listing minning companies as well.
A step in the right direction.
Government must compel companies with a prescribed turnover to list on the stock exchange. But the onus really is on the ordinary Zedian who would rather by a Mark 2 than invest in the future.
Interesting news!I hope many indigenous Zambians will afford to buy shares.
Where is Cell Z. It appears the company has failed to compete. If Zambian managed companies are failing to tick what will happen to the CEE supported companies. The solution appears to quickly privatise Cell Z and let the people have shares.
This is the type of developements we need to hear from these infestors. At least celtel you,ve show that you are not so greedy. We can see even from yo CRS projects like ‘Build Our Nation’, Touching Live, etc
Our Mtn on the other hand is just taking every ngwee to Jo’burg! What a shame!!!!!!!!!!!!!
There is no need to privatise everything,Zamtel can not compete favourably we all know why.The aim of government is to enable people have access to telecommnucation facilities in all parts of the country.Private companies will only provide the facilities where they can make profit.Take some areas like Sinazongwe ,who s gona provide Telecommunications to such areas if Zamtel is privatised?Zamtel has not failed,in Zambia there is politics has been placed above national development.All Zamtel needs is be allowed without political interference,Let our politicians learn to respect experts.As of Friday The Zamtel MD was fired to be honest they are not punishing the chap,he will get a job somewhere
People must learn to demand and not request for better services from parastatal companies and voice out any wrong doings in such companies through proper channels,Zamtel is our company and a symbol of Zambian independence not celtel.Lets help protect Zamtel from Vandalism and theft of equipment,such vices are really a minus gentlemen.I would prefer seeing local companies and investors in front.Some of the companies people are praising here are damn scared of competion,just tell them that Vodacom is coming to Zambia and you will see their reaction.They even wanted us to liberise the international gateway,I will Thank Levy Mwanawansa for having said no to this one.
“If not now, when?”, sang Tracy Chapman at the turn of the 1980’s. Watch this stock grow, is my prediction! I hope many common Zedians will embrace investing in it. Frankly, they are responsible for Celtel’s runaway roll-out in the country. Bravo Celtel for giving back to the community that has supported you over the years!
ZESCO should do the same other than increasing tariffs.
They need to structure the capital so that one portion comes from debt and the other from listing of shares. Celtel management is forward looking, unlike the Sisalas who are surving because they are related to someone at plot1.
Kulibonesha…only 20% ba Venn? More kaili.
Celtel listing on LSE is small step in the right direction. While this scheme will ’empower’ fellow zambians, the chief beneficiary is celtel itself. Celtel simply want to raise capital from the very people it is milking. The real empowerment we expect is Celtel and MTN selling share to local Zambian Investors. I stand to be collected, my assertion is that both Celtel and MTN own 100% of these companies in Zambia. In Uganda for example, MTN only own something like 70% while the ‘Ugandians’ own the rest. This is the real empowerment we need in Zambia. I don’t mind Mr Kavindele ownig 30% in Vodacom Zambia, a Mr Tukamona owning 20% in MTN Zambia and a Mrs Fimofimo owning 20% in Celtel.
You people should be ashamed of yourselves. Do you know who owns Celtel? Do you know how it was started? It is about time that a sense of entrepreneurship is pumped into Zambians.
good moves
Who owns Celtel? Here we go (source:GLOBAL INSIGHT, Inc.):
Celtel Zambia’s ownership structure is 80% by Celtel International, a wholly owned subsidiary of Zain; 10% by International Finance Corporation (IFC); and 10% by Mitsui & Company of Japan. The operator is reportedly required to sell up to 41% of its shares to Zambian investors under its licence conditions. During June 2005, the operator was in the process of concluding an agreement to sell 10% of its shares to Zambian investors, after which it was looking at a listing on the Lusaka Stock Exchange. Celtel Zambia reported 1.8 million subscribers as at 30 September 2007, a 62% increase over the 1.1 million as at 30 September 2006.
#18 you seem to have some facts…let it out. We need real empowerment. Not this capital raising venture. And to stretch the augement further, Mobile operators represents and small fraction of these foreigh companies. Who in opnion if they Zambian meaningfull stake, can transform the country.
Celtel is owned 89% by Celtel Intl,a subsidiary of the Zain group,formerly MTC.The other 11% belongs to IFC,a world bank wing.People,please read the prospectus,its free and available from any of the prominent zambian banks and in the local newspapers.Global Insight data above is slightly flawed.There is no Japanese ownership in Celtel Zambia.Check your facts before misleading the masses.The 41% is the maximum possible Celtel can sell,not necessarily what it has to sell.
The move by Celtel is great,20% isnt a bad start,before we condemn the 20%,lets atleast get other international companies match Celtel’s effort.No 15 is completely off the target.When Celtel sells,money is not for celtel.
When Celtel sells it shares right now,the money is going to the existing share holders whose shares are being sold.Not single ngwee is heading into Celtel cofers.
As Zambians,lets become the entreprenuers and not just complain about the positive efforts being advanced by others.Imagine,a Sudanese Gentleman started Celtel,what can we point at as having been started by a Zambian? Lets go buy Celtel shares and empower ourselves.Remember,real empowerment is when the individual takes it upon himself to break away from mediocrity and poverty and refuses to accept anything less.Those who wait for govt CEE are not truly empowered,but favoured by Govt