ADB shares soar after listing
The Managing Director of the Agricultural Development Bank (ADB), Mr Daniel Asiedu, has assured investors of the bank’s commitment to put up good and consistent performance to guarantee them value for their investments.
Advertisement
According to him, the successful listing and trading of ADB shares on the Ghana Stock Exchange (GSE) last week and its initial performance is an indication of investor confidence in the bank and the Ghanaian economy.
At a short ceremony on the trading floor of the GSE in Accra yesterday to officially commemorate the listing of the bank, Mr Asiedu said “the decision to list on the stock exchange highlights the government’s effort to support the deepening and growth of the capital market”.
The ADB managing director said a healthy and well-capitalised stock market played a pivotal role in the growth of an economy because it helped in the mobilisation of the needed capital to finance key projects in the country.
“Also a well-capitalised market boosts investor confidence in the financial system and helps in the consolidation and promotion of growth of vital sectors of the economy; it leads to the creation of the required jobs,” he stated.
Mr Asiedu was optimistic that being the 40th company and the fourth local bank to list on the Ghana bourse, the bank’s participation would help deepen the market and provide investors asset options to deploy their investible funds.
“Furthermore, we are very hopeful that the ADB shares would eventually become a golden choice for investors on the GSE because of the huge potential of the bank, and as a sign of good things to come, the value of the share appreciated from the initial trading price of GH¢2.65 on Tuesday, December 13, 2016 and closed at GH¢2.93 and has remained steady since then.”
That performance, Mr Asiedu said, represented “an impressive 10.57 per cent appreciation on the first day of trading and we hope the value would keep soaring.”
Other Trending Stories
He commended partners and stakeholders in the floatation, including the Securities and Exchange Commission (SEC), the Ghana Stock Exchange (GSE), the Central Securities Depository (CSD), our Transaction Advisors, IC Securities, partner banks, brokerage firms and the media.
The IPO
The bank earlier this month successfully raised about GH¢325.7 million in an Initial Public Offer (IPO) at an offer price of GH¢2.65 per share.
With applications received from 405 subscribers, including five institutional investors, ADB sold out more than 122.9 million ordinary shares.
Stock market
The Managing Director of GSE, Mr Kofi Yamoah, commended the bank for eventually listing on the stock exchange and indicated that the listing was a sign that the bank was determined to be more open and transparent in its operations.
He further called on other state-owned enterprises to consider listing on the stock market in the nearest future.