Tpb Bank Plc seeks to raise 100bn/- in Dar bourse IPO

24Feb 2017
The Guardian Reporter
The Guardian
Tpb Bank Plc seeks to raise 100bn/- in Dar bourse IPO

Tpb Bank Plc plans to raise about between 70bn/- to 100bn/- in an initial public offering (IPO) on the Dar es Salaam Stock Exchange (DSE) to help gain ground in the local financial market.

Tpb Bank Plc Chief Executive Officer Sabasaba Moshingi (R) directing one of his bank’s customers how to fill a form during the sensitization programme on customer’s service recently at the bank’s office branch of YMCA at the Dar es Salaam’s Central Business District (CBD).

Sabasaba Moshingi, Chief Executive Officer (CEO) of the Bank says that listing at the stock market will be an ideal option for securing the funding as the existing shareholders have been unable to inject additional capital.

Moshingi said the Bank has for many years faced with capitalization strains and that the move to offer its shares to the public will also help the bourse to grow its market.

“This option has worked very well for Banks like CRDB Bank Plc and DCB Bank Plc,” he said adding that almost all equity listed on stock market were oversubscribed by 2X, reflecting an open and liquid environment for Tanzanians to participate.

According to Moshingi, the Bank is requesting support from the government to finalise the process for Tanzanians to own the bank as a form of economic empowerment.

The Bank said the slow pace of recapitalization has been accrued by the drop in revenue, growth in operating expenses, slow recovery of loans and failure to make profit.

“By listing at the DSE, the Bank will be able to operate in a liquid environment, have better corporate governance practices and transparency thus strengthening the Bank brand,” said Moshingi.

The Bank has so far launched a new logo and re-branded it from Tanzania Postal Bank to Tpb Bank Plc. The Bank has since opened 60 branches todate from 32 branches which were opened in 2011 to provide financial services countrywide.

Tpb Bank Board Chairperson Lettice Rutashobya said that bank will continue provide quality services to its customers as well as preparing strategies that will make it reaching many Tanzanians in rural areas.

The Bank was established to provide financial services to the common Tanzanians and is now focusing on promoting financial inclusion and to develop a saving culture.

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