PRECISION AIRS IPO EXPANDED BY A WEEK
In what some financial analysts called a stunning development overnight has it been learned that Precision Airs IPO, which by all accounts had ended last Friday with results due out by November 11th and trading to commence on December 08th, has been extended by another week. The news was confirmed also through a statement made by the CEO of the company who apparently announced that approval for another week of sales had been obtained through Nairobis Capital Markets Authority where applications could now be received through participating financial institutions. No mention was made about any shares being sold through the Uganda Securities Exchange or if any approval had been sought for such an exercise through the Ugandan financial markets regulator.
Financial pundits jumped on the news, reading their own interpretation into the sudden and certainly unexpected prolongation of the IPP period, which might in fact indicate that the take up of shares has not been as expected, although a regular source close to the company tried to put a brave face on it and explain that other East African countries can now also buy shares after Tanzanians had their first call. Only days prior to the IPO taking off had a Nairobi based international audit and financial consultancy firm termed the share value of TShs 475 per share as overpriced, drawing a sharp reaction at the time from the company. Watch this space for further announcements on the 18th of November, when the share sales / application results will be announced and the 15th December when the shares will now be traded for the first time.