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Intravenous Infusions Limited (IIL), Ghana’s market leader in the supply of intravenous (IV) fluids, has listed and began trading its shares on the Ghana Alternative Market (GAX) on Tuesday, becoming the 4th equity to do so.
The listing followed the successful completion of an Initial Public Offering (IPO) which commenced in October to raise GH¢ 12 million to expand its operations.
The company will trade under the acronym IIL.
Speaking at the listing, Dr Adu Anane Antwi, Director-General of the Security and Exchange Commission, said the promotion to give opportunity to small and medium scale enterprises was bearing fruits looking at the rate of listing.
He urged the directors of IIL to uphold the tenets of good and sound corporate governance so as to attract more capital into the business.
Dr Antwi said the directors must be ready to make disclosures to the investing public to build the necessary confidence in the business.
He urged brokerage firms, investment and finance companies to syndicate the underwriting of the IPO, if they could not do it alone.
Mr Richard Okrah, Managing Director of ILL, said the listing would give intravenous infusion the opportunity to consolidate its market leadership position in Ghana and further increase its footprint in the ECOWAS region.
He said the injection of capital would allow the company to complete installation of a new production plant, to increase capacity from the current 4.5 million bags to 15 million bags of IV fluids per year.
While the company has the capacity to produce 4.5 million bags of IV fluids per year, the ageing machines and manual processes have seen production fall over the last few years.
Mr Okrah said the installation is currently 90 per cent complete.
About 6.7 million bags of IV fluids were used in Ghana in 2014 and this is expected to grow by approximately 50 per cent in the next five years.
Mr Okrah said the listing would afford the company the opportunity to meet growing demand in Ghana and beyond and significantly increase the ability to help save lives.
Mr Kofi Yamoah, the Managing Director, Ghana Stock Exchange, urged SMEs to take advantage of the many incentives for listing and trading on the GAX to raise capital to expand their operations.
He said the GAX is solely dedicated to SMES and the listing rules have been made flexible to accommodate companies desirous to list.
Intravenous Infusions Limited began operations in 1974 and is the oldest and most reliable indigenous IV fluids producers in Ghana and West Africa.
The Koforidua-based company currently supplies from 50-60 per cent of IV fluids to hospitals and pharmacies nationwide, and exports about 10 per cent of its products to neighbouring countries such as Cote d’Ivoire, Burkina Faso and Togo.
