By Ndumbe Bell Joseph Gaston in Douala
The fused professionalism and governance of the Central African Stock Exchange (BVMAC) and the issuer ACEP Cameroun have raised bonds to the value of FCFA 5 billion at an interest rate dubbed ‘ACEP CAMEROUN Gross 2024 – 2027’, during a bonds listing ceremony effected at the BVMAC headquarter precincts in Douala recently.
It is the first time for a microfinance institution of the second degree (to be more precise), to raise 500.000 subcriptions at FCFA 10.000 per bond and arrived at the projected and realised amount.
In the the joint audience of the Governor of Littoral Region, Samuel Ivaha Deboua, in the absence of the Board Chair of BVMAC ably represented by the DG of BVMAC and equally playing the host, Senior representatives and experts in financial institutions such as the Central Bank, the Securities and Exchange regulator COSUMAF, the arrangers also known as intermediaries or brokers, leaders of the public and private sectors, and directors of ACEP Cameroun and BVMAC, this flagship project is an eye-opener to all other Small and Medium-sized Enterprises from any sector of the economy which is properly structured, transparent and undoubted governance, to seek sure and aIternative sources of financing to satisfy their creditors and also accomplish their investment dreams, to approach the legendary hospitality of BVMAC.
In a readout procured from ACEP Cameroun, “Strong partipation of private individuals contributed 17 percent of the listings or operations. A leading investor, Cygnlim Capital, through their investment fund, contributed over 38 percent to the transaction while the rest of the CEMAC Zone mainly by Cameroonian brokerage firms and individuals subscribed the lion’s share of FCFA 3.061.500.000 of the FCFA 5 billion raised.
In his keynote address, the Managing Director, Louis Banga Ntolo seized the opportunity of these ceremonial activities to educate, inform and outline details related to compactment C transactions. He mentioned that, “stock market listing creates liquidity”. He added that such listings on the stock exchange offers other investors, particularly those who were unable to buy shares on the primary market, the opportunity to acquire them second hand, among others.
Louis Banga Ntolo underscored ACEP Cameroun’s decision as a game-changer and encouraged others to join in.
He emphasised on the game-change because, as he puts it, the stock exchange’s objective today is not only attracting big game amounts but relatively modest amounts tailored to the needs of the issuer or enterprise.
He remarked that ACEP Cameroun’s 500.000 bonds has brought the total number of issuers from 6 to 7 in BVMAC’s compartment C, the service related to such transactions. Borrowing lines have risen from 25 to 26 and debts have risen from 1457,733.982.208 including this day’s FCFA 5 billion.
Both BVMAC and ACEP CAMEROUN expressed their deepest gratitude to all those (such as the arrangers) who directly participated in the success of the transsaction.
BVMAC said most conditions for eligibility to benefit from BVMAC, have been scrapped and made affordable to investors. Semi-annual redemption or remboursements have been arranged.
The General Manager of ACEP CAMEROUN confided to the press that having secured this financing, credits will be awarded to priority investments such as agro-industry, education and a host of others.