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Angola Expects Listings to Double by 2027, Bourse CEO Says

(Bloomberg) -- Listings on Angola’s stock exchange are expected to more than double by 2027 as some of the oil producing country’s biggest companies prepare to sell shares on the market, its chief executive officer said.  

“Bodiva’s growth potential is enormous,” Walter Pacheco said in an interview. “By 2027 we will have 10 companies listed on the stock market” from four currently, he said. 

Bodiva, as the Luanda-based stock market is known, became the bourse’s fourth listing on Monday after kicking off an initial public offering of 30% of its shares. Its debut will be followed by at least three others next year including lenders Banco de Fomento Angola, the local unit of Standard Bank Group Ltd., and telecommunications company Unitel, said Pacheco.

The government is also planning an IPO of state-owned diamond company Endiama EP and oil company Sonangol. The two companies are among the largest of almost 200 state-owned firms and assets the government initially earmarked for disposal in 2019 as part of efforts to modernize the economy and entice private investment. Some of the sales were delayed because of the coronavirus pandemic.

Pacheco said the exact timing on Sonangol’s listing is still to be finalized. 

“Sonangol is in the pipeline and there is a big debate regarding the timing,” said Pacheco, adding that he expects the oil company to attract big foreign investors to the stock market. “There is a very big effort to try to list the shares in 2027.”

©2024 Bloomberg L.P.