Tanzania Portland shares likely to be oversubscribed

Tanzania Portland shares likely to be oversubscribed
Published: 18 July 2006

Shares of the Tanzania Portland Cement Company (TPCC), which were recently floated to the public, are likely to be oversubscribed, it was learnt in Dar es Salaam yesterday.

"It is very early to say exactly. But all indicators show that the offer is successful," said the Chief Executive Officer (CEO) of Orbit Securities Company Limited (OSCL), Mr Laurean Malauri.

"There will be no extension of the offer after the closure date on July 26," Mr Malauri added.

The government is selling its 53,975,900 shares in TPCC at 435/- each, in a move expected to raise 23.48bn/-.

The initial public offer (IPO) opened on June 30, while listing on the Dar es Salaam Stock Exchange (DSE) is slated for September 29. The shares will traded at DSE as Twiga.

The CEO said the offer price of 435/- bears a discount of 24 per cent to empower nationals to enter into profitable investments.

He called upon many Tanzanians to participate, taking into account the firm’s performance.