Nairobi Securities Exchange (NSE) chief executive Geoffrey Odundo (L), Vasu Abotula, the chief executive of Nairobi Business Ventures (NBV) and the firm's managing director Raj Srungarapu (R) speak to the media after the bell ringing ceremony to mark the commencement of trading of NBV shares at the Growth and Enterprises Market Segment of the NSE on June 21, 2016. PHOTO | DIANA NGILA
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NSE says another small and medium enterprise may enter the capital market this year but did not provide details of the transactions are yet to be made public.
Shoe vendor Nairobi Business Ventures trading as K Shoe today became the first firm in almost two years to list on the Growth Enterprise Market Segment (Gems) of the bourse.
The local shoe and leather accessories retail chain joins HomeAfrica, Kurwitu Ventures, Flame Tree Group and Atlas Development in the small and medium market segment. The Gems section was expected to attract a higher number of companies to the market but has only attracted five firms since launched in 2013.
NSE says another small and medium enterprise may enter the capital market this year but did not provide details.
NSE chairman Sam Kimani urged other SMEs to take up space at the bourse to raise capital and scale up business.
Economic growth
“SMEs are the engine of economic growth in our country, cutting across all sectors of the economy and sustaining majority of our households,” Mr Kimani said.
“I urge other medium tier companies to follow in Nairobi Business Ventures footsteps by listing on the exchange, bolstering their capital base, facilitating their development strategies and in turn promoting our country’s economic growth.”
The NSE plans to increase listing in the Gems segment to 19 by 2017 as per the Capital Markets Master Plan and to 39 listings by 2023.
K Shoe listed by introduction offering 23.6 million shares at a price of Sh5 translating to a valuation of Sh118 million.
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