GetBucks Financial Services initial public offer under-subscribed

Business Reporter
GetBucks Financial Services initial public offer has been under-subscribed at 2,29 percent with the underwriter taking more than 91 million shares to ensure the financial technology company raised the targeted $3,2 million.

Investors subscribed for 2 145 120 and the underwriter took 91 422 131 at the close of the IPO last Friday.

“The directors of GetBucks financial Services Limited are pleased to announce the results of the Initial Public Offer of 93 567 251 ordinary shares at $0,0342.

“Under the IPO, GetBucks sought to raise $3,2 million,” GetBucks said in a notice yesterday.

The financial technology services provider is expected to list on the Zimbabwe Stock Exchange today.

The listing will be the first in the multi currency era.

The last listing was that of Zeco Holdings during the Zimdollar era in 2007.

GetBucks is targeting over one million bankable customers in the financial technology services sector as the financial services company sees scope for growth.

Part of the strategy is to target salary-based clients which offers less risk and guaranteed returns since the deductions are at source.

Currently GetBucks is sitting on more than 20 000 customers but hopes to take up a commanding share of the estimated over one million bankable but untapped market.

The company expects growth to be underpinned by new innovative products such as the signing of companies as a strategy to reach employees and growing loan book.

The loan book grew by 389 percent in 2014.

GetBucks will also leverage on its external connections to raise fresh affordable capital.

GetBucks Zimbabwe, a “fintech” company that embraces technology as a means to provide financial products and services, is owned 55 percent by Mauritius-registered GetBucks Limited and 34,06 percent by local firm Brainworks Capital with pension funds holding the remaining shareholding.