Tanzanian Oil and Gas firm, Swala has received an approval to list in Mauritius stock exchange.
The firm has now been listed on the Stock Exchange of Mauritius (“SEM”), allowing the listing of the Company’s US$50 million Corporate Bonds on the SEM with Greenshoe rights.
According to a statement from Swala, it first announced the move to Mauritius on the 2nd of July 2018.
“The Company and its advisors will now proceed to finalising the financing for the second and third tranches of the transaction with Orca Exploration Group Inc. The Listing Prospectus will be available for review on the Company’s website,” it reads.
Dr. David Mestres Ridge (Swala CEO) said “We are pleased to have concluded the listing process on a stock exchange such as that of Mauritius and will now start placing the bonds with sophisticated investors and Company shareholders with whom we have engaged constantly over the past months. We aim to complete the placing over the next weeks, reflecting the interest that this first Tanzanian oil and gas industry bond has awakened in Tanzania and elsewhere.”
The Stock Exchange of Mauritius operates two markets: The Official Market and the Development & Enterprise Market (“DEM”).
SEM can list, trade and settle equity and debt products in USD, EUR, GBP, ZAR besides the local currency MUR. Local investors account for about 60 % of the daily trading activities, and foreign investors account for the 40 % remaining.
The DEM was launched on 04 August 2006 for mid-cap companies and there are presently 43 companies listed on this market with a market capitalisation of nearly US$ 1.8 billion as at 30 April. Currently, there are 51 companies listed on the Official Market representing a market capitalisation of nearly US$ 10.1 billion as at 30 April 2018.
Foreign investors benefit from numerous incentives such as revenue on sale of shares can be freely repatriated and there is no withholding tax on dividends and no tax on capital gains.