The listing of FNB Eswatini on the Eswatini Stock Exchange shows strong support for the local capital market and the potential for Emaswati to continue developing the Eswatini economy.
The Group has decided to sell shares to local shareholders, in a move that will benefit broad base of Emaswati who are beneficiaries of the entities that have invested in FNB Eswatini.
This includes a significant proportion of the country’s pensioners and savers who, in this transaction, are represented by the largest Pension Fund in Eswatini, the largest Provident Fund, the largest Private Sector Umbrella Fund, one of the largest and oldest Cooperative Societies, as well as Asset Managers who hold substantial consumer savings.
Speaking on behalf of the FirstRand Group, Sam Baldson said that FirstRand welcomes the new shareholders who will partner in the growth of FNB Eswatini, further mentioning that the Group still retains a significant amount of shareholding in FNB Eswatini.
“FirstRand has sold 24.99% of the bank, retaining 75.01%. This level of shareholding is critical because the FirstRand Group remains key to the business. Beyond the critical role of Management and the Board, FirstRand Limited will remain pivotal to maintaining stability and addressing future shock risks as has happened during the last global financial crisis”, said Balsdon.
The new shareholders are to jointly own 20.00% with 4.99% being reserved for the ongoing benefit of FNB Eswatini employees through an Employee Trust. The Trust allows employees to have long-term participation in future dividends of an organization they have helped build. Employees will not own the shares directly, to allow all future employees to benefit, but will receive dividends equally, regardless of seniority in the organization.
The previous attempt to include an offer to the public was complicated by the size of the demand and the regulatory requirements that needed to be met. Members of the public can have access to the shareholding of FNB Eswatini after the listing as and when current investors seek to realise the value of their holdings.
The FirstRand Group appreciates the partnership it has historically held – and continues to hold - with stakeholders and regulators, not just in Eswatini but in the rest of its broader Africa subsidiaries.
Distributed by APO Group on behalf of First National Bank Eswatini (FNB).
For media queries, contact:
Zethu Dlamini
Chief Marketing Officer
Zethu.Dlamini@fnb.co.za
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