The Infrastructure Development Bank of Zimbabwe (IDBZ) has listed two bond facilities worth $65 million on the Finsec alternative trading platform, with efforts to raise funds to finance its energy projects.
The Source reported that IDBZ becomes the first bank to list on the Finsec fixed income board, which allows investors to trade debt securities.
“The listing of these bonds by IDBZ demonstrates confidence in our markets and is an important signal to both local and international investors that indeed our economic recovery and growth is underway,” said Escrow chief executive Collen Tapfumaneyi.
— FINSEC (@FINSECZim) November 29, 2017
Upon listing on Wednesday, 800 units were traded at an average price of $101,1 with a total value of $80,885.
IDBZ chief executive, Thomas Sakala said the listing of the bonds will enhance their liquidity and provide a transparent and market determined price mechanism. Read more about South Africa’s JSE launch of Green Bond Segment…
— BC (@DvlptFinancier) November 29, 2017
“The listing of the bonds will provide opportunities to investors who have failed to participate at the time of issuance, to buy the bonds in an organised secondary market,” Sakala said.
The $15 million bond was issued to finance the completion of the Zimbabwe Electricity Transmission and Distribution Company (ZETDC) prepaid meter project while the $50 million bond was issued to fund the refurbishment of the Kariba South Power Station and the repowering of the Harare Power Station.
Featured image: Stock