OBSERVING THE MARKET: BSEL CEO Tsheole with EU Ambassador Sadek studying the local stock market
Although there were no new listings on the Botswana Stock Exchange Limited (BSEL) in 2020, the local stock market still experienced some positives during what was a tough year.
According to the BSEL Market Performance Report for 2020, the local bourse experienced tremendous activity in the equity primary market and in the fixed income market in terms of new bonds listings.
During the year, additional share issuance on the BSE is reported to have raised capital amounting to P103.9 million and P86.5 million on the domestic board and foreign respectively.
24th January 2021
Botswana Stock Exchange Limited’s has recorded a total turnover of P3.6 Billion in 2020 compared to P4.2 Billion in 2019, which is a decline of 14.1 percent.
A look into the turnover of the trading activity in 2020, the top three traded companies during the period under review were Letshego Holdings Limited with P170.7 million, and then followed by First National Bank Botswana (FNBB) with P81.2 Million and thirdly it was Sechaba with turnover of P78.0 Million.
The total turnover from these three companies accounted for 47.2 percent of total equity turnover, with the leading counter Letshego accounting for 24.4 percent of total equity turnover. In comparison to the same period in 2019, the top three traded companies accounted for 42.8 percent of total equity turnover with the leading counter Wilderness accounting for 15.6 percent of total equity turnover.
MANAGING DIRECTOR: Pius Molefe
Following the completion and publication of its audited 2019 financial statements, BBS Limited intends to re-file its banking licence application.
It has not been a smooth ride for BBS Limited in its bid to convert into a fully-fledged commercial bank following its demutualization in 2017.
The demutualization process – voted for by the organisation’s shareholders – meant BBS was converted from a society into a company. The transformation was finally completed in April 2018.
BBS Limited hopes to become the first indigenous commercial bank should it acquire a banking licence from the Bank of Botswana (BoB). Currently, there are 10 licenced commercial banks in the country.