Angola's Capital Market Commission approved the public sale of a 34% stake in Standard Bank de Angola on 4 September, clearing the way for the lender's debut on the Angola Debt and Securities Exchange and advancing the disposal of shares seized by the state from businessman Carlos São Vicente. The regulator authorised the sale of 4.76 million shares, representing 34% of the bank's share capital, according to documents released by the commission. The Agency for the Management of State Assets and Holdings, known as IGAPE, said the offer will run from 11 September to 25 September, with trading on BODIVA expected to begin on 30 September. Shares are priced at 41,220 kwanzas for Standard Bank Group and between 41,220 kwanzas and 50,000 kwanzas for public investors, equivalent to roughly $45.16 to $54.78 per share. IGAPE said the transaction could raise as much as 208.5 billion kwanzas, or approximately $228 million.
The offering forms part of Angola's PROPRIV privatisation programme. The shares originate from a 49% interest the Angolan state seized in 2020 from São Vicente, the former chairman of insurance company AAA Seguros, who was subsequently convicted of offences including embezzlement and tax fraud and is serving a nine-year prison term. Standard Bank Group, Africa's largest lender by assets, has held 51% of the Angolan unit and retained a contractual right to acquire an additional 24 percentage points.
STRUCTURE OF THE OFFERING
The offer document divides the 34% stake into two tranches with materially different characteristics. Standard Bank Group holds a reserved allocation of 24 percentage points at a fixed price of 41,220 kwanzas per share, while the remaining 10 percentage points, roughly 1.4 million shares, are offered to public investors across the full price range. If the group takes up its allocation in full, its holding in Standard Bank de Angola would rise from 51% to 75%, with the Angolan state retaining 15% and public investors holding the balance of 10%.
The commission confirmed that all 14 million Standard Bank de Angola shares, not only the 4.76 million included in the offering, are expected to be admitted to trading. Individuals seeking to participate require a securities account with an authorised financial intermediary, and the offer information advises investors to review the prospectus and its risk disclosures before submitting orders.
PRIVATISATION AND MARKET DEPTH
IGAPE Chairman Álvaro Fernão indicated in July that the Standard Bank transaction would be followed by the sale of the state's 1.4% holding in Banco Caixa Geral Angola. Angola intends to sell stakes in nine further assets before next year's elections, which would complete the 2019-2026 privatisation programme that has served as a cornerstone of President João Lourenço's agenda to modernise the economy and attract private investment.
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