BSE takes listings campaign to Palapye
Lindiwe Mozola | Wednesday February 8, 2017 16:51
Tsheole was speaking at the BSE Open Day held here on Monday.
He said there are many benefits that companies can enjoy through the BSE adding that the local bourse is open to both start-up and big companies.
“.....any company regardless of its size can list with the BSE and enjoy more expansion and exposure both at a local and international levels. BSE listed companies are crème de la crème of Botswana and currently there are 34 companies listed therefore imagine how your business can as well reach that level of growth,” he said.
Tsheole stated that companies could grow beyond Botswana noting that among 24 companies on the domestic board, 12 have regional presence. Letshego has services in Swaziland, Uganda, Rwanda among others while Sefalana has outlets in Zambia and Namibia. Furnmart on the other hand has retail stores in Namibia and South Africa.
Tsheole said there are currently 78,000 people who have bought shares in the BSE listed companies. However, it is their hope that in the future they reach the 100,000 target which makes 4.5% of the country.
He said the BSE had a turnover of P2.5 billion which he said is an indication that they are doing very well and Batswana can entrust their investments with them.
For their part, the residents extended their gratitude towards the BSE for taking their time in teaching them about the stock market. However, they also indicated that there is still a need for intensified education to learn more so that they can entrust their investments with the BSE.
One pensioner, Keoreditse Letetse wanted to know the level of communication between the listed companies and their shareholders.
“For instance, if one buys shares in Choppies at what level do the company communicate with them in decision making or they just do not have a say on the operations of the business even though they are partners in the company or perhaps it depends on how many shares one owns?” he asked.
Bame Bathobakae asked on the indications one should look for in order to determine a good investment when buying shares. She also wanted to know how one avoids the risk of buying shares from a dead horse as well as being used by companies to accumulate wealth without receiving any dividends.
In his response, Tsheole said before buying shares from any listed company, one should see a broker first who will teach them on how the whole process works and which company one should invest in to avoid losses. Furthermore, he said it is one’s responsibility to do a thorough research about a company before investing in it.
Tsheole also explained that listed companies often hold annual general meetings where they lay down the status of the company and also expect to hear from their shareholders. “In addition the companies often send updates to the shareholders hence it is imperative that they are given authentic contacts,” he said.