The Cahora Bassa Hydroelectric Company (HCB) today launched a tender to find a partner in the operation to float 7.5% of its shares on the Mozambican Stock Exchange, the company has announced.
The company will select a “leading financial intermediation entity to provide services related to the organisation, registration, authorisation, publicity, launch and execution of the public offering of shares of HCB,” the company said in a statement.
The public offering, which was announced the Filipe Nyusi on November 27, 2017, has not yet been scheduled.
In a press release issued today, the company states that this process is intended to “contribute to the promotion of the economic inclusion of Mozambicans, as well as to the consolidation of HCB’s credibility with the main national and international stakeholders in the project, focusing on financial institutions, as it demonstrates the openness and willingness of the company to adhere to internationally accepted good practices of corporate governance and to permanent public scrutiny”.
Located on the Zambezi River in Tete province, central Mozambique, the dam is the largest in Southern Africa. Construction started in 1969 and the facility came into operation in 1977.
HCB is 85 percent owned by the Mozambican state, after it closed a reversion agreement with Portugal in 2007. In addition to supplying the Mozambique market, HCB supplies electricity to several countries in Southern Africa.
-Lusa
