RWANDA – RH Bophelo, low-cost healthcare service provider firm, has been cross-listed on the Rwanda Stock Exchange (RSE), as it plans to leverage on IT to enter East Africa.
The firm said the purpose of secondary listing is to diversify investor’s base and to facilitate RH Bophelo’s ordinary shares availability to the wider East African public among others benefits.
RSE will be the first stockmarket outside the Johannesburg Stock Exchange (JSE) where the company will be listed. From here, the firm said, it plans to target low-end healthcare clients in the region.
RH Bophelo chief executive Quinton Zunga said that he had faith that RSE is going to grow as it linked to other stockmarkets in East Africa, an opportunity for the firm to be profiled in the region.
BH Bophelo owns nine hospitals and manages six on behalf of smaller stand-alone hospitals, and it has been listed for almost three years on the JSE.
The firm will not raise capital on the day it lists on the RSE through an initial public offering. Mr Zunga said this will be done later when the firm has established itself in the market. The firm’s primary listing and exchange will remain as the JSE, with the RSE listing being a secondary listing.
RH Bophelo’s issued share capital of 58,875,000 shares and authorised share capital of ten billion shares, will remain unchanged and current shareholders or potential investors may continue to trade in RH Bophelo’s shares on the JSE. Mr Zunga said East Africa was the firm’s next frontier into the rest of the continent, and Rwanda will be a door to the region.
“We chose Rwanda because it has good, friendly regulations that actually support the listing for us. In April 2020, the directors, subject to approval by the relevant regulatory authorities, approved RH Bophelo’s proposed secondary listing on the Rwanda Stock Exchange,” Mr Zunga said.
Pierre Celestin Rwabukamba, CEO of RSE said the upcoming listing is important for Rwanda, being the first outside South Africa. “It’s not only listing its stock here but they also want to expand their businesses in the country, East Africa and beyond,”