The Food Processing Company, Samba Foods will this morning, 19th February,2014 launch an Initial Public Offering (IPO) on the Ghana Alternate Exchange,(GAX).
The IPO is expected to take from Monday, 23 Febuary,2015 and run for a month.
This means from Monday prospective buyers can purchase shares of the company.
The IPO when successful will lead to Samba Foods listing on the Ghana Alternate Exchange.
Samba’s move to launch the IPO follows the GAX’s approval of Samba’s application from the listing support fund.
If Samba lists on the GAX it will be the second on the exchange after IZWE LOAN.
Izwe Loans in November last year listed some GH¢39 million notes on the market.
Unlike, listing on the main exchange where the stated capital requirement is huge, companies considering listing on the GAX are required to have a stated capital GH¢250,000 but it seems this has not enticed more SME’s to take advantage of the market.
However Director General of the Securities and Exchange Commission, Dr Adu Anane Antwi in an interview with Citi Business News, challenged SME’s to raise more capital through the GAX to boost their operations.
‘’Owning property together has never been our way of life, everyone wants to own property that belongs to them, but that mentality must be worked on, to ensure we don’t behave same in our businesses.’’
The SEC Boss added that due to the small nature of Small and Medium Scale Enterprises, ‘’their capacity is not able to work as much as they hope to however if there is a partnership, it can grow to an appreciable level and be more competitive.