The privatisation of state holdings in the banking and insurance sectors has earned the Angolan state more than 70 billion kwanzas (€70 million), the state secretary for finance and treasury said on Wednesday.
Ottoniel dos Santos, who was speaking at the admission to the stock exchange of Angola’s most recent listed company, state insurer ENSA, which joins BAI and Caixa Angola on the stock market today, highlighted the success of the operation, which followed a failed attempt to sell it by public tender, before ENSA decided to open up 30% of its capital to the public.
He pointed out that the sale of state holdings on the stock market has been successful, with more than 70 billion kwanzas raised in privatisations coming from stock market operations.
‘Of all the offers placed on the stock exchange for the three listed companies, the average demand is above 158%,’ he emphasised.
In June 2022, the state sold 10% of the capital it held in BAI for 40 billion kwanzas (€40 million), making it the first listed company on the Angolan Debt and Securities Exchange (Bodiva).
Banco Caixa Geral Angola (BCGA) was the second company to enter the Angolan stock exchange, with an initial public offering of 25% of the shares held by Sonangol, which yielded around 25 billion kwanzas (€25 million).
The most recent Public Offering, ENSA, added 8.9 billion kwanzas (around €9 million) to the state coffers.
‘The figures for this operation are very encouraging,’ he emphasised, pointing to the more than 1,800 purchase orders, a coverage ratio of 174% and demand in 14 provinces.
Ottoniel Santos pointed out that the state insurance company now has more shareholders (1,150 investors) signals investor confidence in the capital market and added that the government will continue to promote reform of the public business sector, with more transparency and competitive opportunities.
He said that floating companies on the stock exchange allows the state to reduce its participation as an economic agent, strengthens the capital market, and creates investment alternatives.
Lusa
