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Financial Securities Exchange (FINSEC) is expecting to have more listings on its Alternative Trading Platform next year, general manager Garikayi Munema has said.
Economic uncertainties that affected Zimbabwe in the second half of the year, delayed the conclusion of some transactions that would have resulted in more listings and increased trading activity on the ATP this year, Munema said last week.
“A number of clients have indicated the desire to raise capital and list on the FINSEC platform and the enquiries continue coming in,” Munema told Business Weekly in a side line interview during a Christmas party it hosted for orphans at Shungu Dzevana Children’s Home in Harare.
FINSEC also donated some groceries.
“We are also excited by the fact that we remain in touch with the prospective clients and they are still very interested in listing and raising capital. Our pipeline of prospective clients continues to grow.”
Munema said they were expecting to conclude some transactions during the “first few” months of 2019 which could increase their listings.
He added that 2018 was fairly good as the company managed to put in place infrastructure to ensure smooth deployment of the innovative products that would be launched soon.
“We are also leveraging on Government’s thrust to promote a culture of savings, investment and financial inclusion by making the capital markets accessible to a growing number of issuers and investors.
Recently, the company was admitted as a member of the Committee of SADC Stock Exchanges (CoSSE), which has given the company access to the capital markets developments within the region that can benefit the local market and the country as a whole,” said Munema.
Old Mutual Zimbabwe became the first company to trade on the Financial Securities Alternative Trading Platform in December 2016 after it listed its empowerment shares, which make up 25 percent of the group.
In November last year, the Infrastructure and Development Bank of Zimbabwe listed its energy bonds on the fixed income trading board by way of introduction.
The rationale for listing the bonds was to broaden market participation to include stockbroking firms, custodians, individuals and institutional investors. It was also meant to enhance the liquidity of the bonds due to wider access that buyers and sellers will have to professional broking services on the Finsec and allows for a market price discovery.
In January 2018, Untu Capital listed its medium term note on Finsec.
Online Reporter