Dr Ellias Ngalande Banda FDH Bank Managing Director

BLANTYRE-(MaraviPost)-FDH Bank plc has issued an Initial Public Offer (IPO) to the Malawian public who has a chance to own shareholding of the bank.

FDH Bank plc Managing Director Dr Ellias Ngalande said with the blessing of the Reserve Bank of Malawi(RBM)  and the Malawi Stock Exchange (MSE), the offer period for the IPO opened Monday 29th June 2020 and would close at 5pm on 17th July 2020.

“The Malawi public has a fantastic opportunity to acquire up to 1,380,206,250 ordinary shares in FDH Bank Plc at a very a­ffordable price of MWK10 per share. Post IPO the public will hold a 20% equity stake in FDH Bank Plc.”

“Opportunities to invest in the financial services sector are indeed rare as the last IPO for a bank on MSE was in June 2007,” said Ngalande.

He said the financial services sector remains one of the most attractive investments on the MSE.

“We have a strong brand, we are market leaders in digital banking, our financial inclusion strategy remains unmatched and we are proud to invite the public to share in our success and excellent growth prospects,” said Ngalande.

He said FDH Bank plc is listing to fulfill a contractual obligation with Government of Malawi (GoM) as part of the MSB acquisition.

“But we also want to raise new capital to further support the Bank’s growth strategy which over the past 5 years has delivered an average growth in revenue of 19.2% per annum. We also want to allow other existing shareholders to dispose of part of their shareholding,” explained Ngalande.

He touted FDH Bank plc as the only financial institution which has financial inclusion at the heart of its growth strategy and also the only bank with a physical presence in 27 districts out of the 28 districts of the country.

“We have invested significantly in digital platforms to support our growth strategy,” said Ngalande.

“We proudly publish our IPO Pre-listing Statement and Prospectus today for further information on the Bank’s overall performance and growth over the years as well as future forecasts. The Prospectus and IPO Application Forms are available at the service centres of FDH Bank Plc and Standard Bank Plc across the country, and can also be accessed and downloaded from our dedicated investor page at www.fdh.co.mw/investor,” explained Ngalande.

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