ADB grabs GHC325.7m from IPO

THE Agricultural Development Bank (ADB) has managed to get GH¢326, 784,952.70 from its initial public offering which ended this week, which represents about 84.90 percent subscription level, according to the bank.

The amount raised was slightly below the GH¢383,713,995.10 targeted.

According to the Bank, it got about 405 applications, five of which came from institutional investors with the remainder coming from retail investors.

This represents 122 million shares, which ADB says the majority of the applications came from Ghanaian investors.

The bank, in the statement issued to investors, added that with the exception of two retail investors who will receive refunds of GH¢205,000, all qualifying applicants had what they wanted.

ADB had an offer of 144, 797,734 ordinary shares of no par value at a price GH¢2.56 per share during the Initial Public Offering.

The offer ran from November 24, to December 5, 2016.

According to the Bank, the first day of trading of the shares is expected to be today December 12, 2016.

The Bank says this is one of the biggest IPO ever undertaken on the Ghana Stock Exchange (GSE) and demonstrated its continued development of the Ghanaian Public Markets.

ADB had indicated that they are planning to use the funds raised to support the growth of the bank.