Flame Tree Group of Mauritius to List 15% Stake on Kenyan BourseEric Ombok
Flame Tree Group, a Mauritian manufacturer of water tanks and cosmetics, will list 15 percent of its shares on the Nairobi Securities Exchange ahead of a potential rights issue within the next two years.
“We intend to list in the final quarter of the year” on the Growth Enterprise Market segment of the exchange, Edward Burbidge, chief executive officer of Burbidge Capital, Flame Tree’s adviser, said in a phone interview from Nairobi today. “We expect that the application will be submitted at the beginning of the final quarter.”
Flame Tree Group manufactures and distributes Roto plastic water tanks and skin care, nail polish and hair products under the Zoe brand. The company has operations in Kenya, Dubai, Rwanda, Ethiopia, Sudan and Mozambique.
The listing by introduction, which means the company won’t initially raise capital, is intended to build Flame Tree’s profile ahead of a rights offer within 18 to 24 months, Burbidge said. The company plans to raise cash to fund expansion in Eastern Africa and eventually into Southern Africa, he said.