BDC loses P300m as Sechaba stock crashes

BDC chief financial officer, Mbako Mbo
BDC chief financial officer, Mbako Mbo

The Botswana Development Corporation (BDC) suffered a P300 million decline in net assets in the balance sheet in the year to June 2017 as the bear run on the Botswana Stock Exchange (BSE) knocked down the value of one of its key assets, Sechaba Breweries Limited.

In the 12 months to June 2017, Sechaba Breweries, which was 26% owned by BDC before selling down to 24%, saw its share price on the BSE tumble 31% from P29 per share to about P20 per share.

At the beginning of the financial year, BDC’s 26% shareholding in Sechaba translated to 34.58 million shares valued at P1.01 billion. But at the end of the financial year after the 31% drop in the share price, the value of the investment in Sechaba had dropped to P691 million, representing a fall in value of over P300 million.

Editor's Comment
Shame on the Police!

According to a press statement from the police, unidentified armed men attacked on duty police officers at the station in the early hours of Tuesday.During the attack, the suspects stole 14 riffles, five pistols and an undisclosed number of ammunition.Although unconfirmed, it is alleged that the suspects were just carrying knives and axes, which they used to scare the men and women in uniform before they took them hostage to help themselves to...

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