The Securities and Exchange Commission (SEC) has announced that it has released its hold on the Initial Public Offer (IPO) of the Agricultural Development Bank (ADB), following a decision by the bank to withdraw an earlier petition it filed with the Commission.
SEC, early this month put on hold all activities regarding the IPO to allow investigations, following a petition by the Board of Directors of ADB over concerns on the returns of the Initial Public Offer.
The Board had failed to approve offer results submitted by the Financial advisors and lead sponsoring broker, IC securities.
But a statement from SEC and copied to Citi Business News said, “ADB on 19th May, 2016 wrote to the commission to withdraw the petition.”
It added, “The SEC has therefore released its hold on the activities relating to the ADB IPO.”
ADB concluded its IPO in March after putting it on hold a number of times.
The offer was to raise 390 million cedis.
The Head of Marketing and Communications at ADB, Solomon Adu Atefoe had told Citi Business News the offer has been oversubscribed by over nine percent.
He also indicated that proceeds of the IPO will be channeled into paying the Bank of Ghana’s shares and embark on the bank’s branches and IT infrastructure expansion projects.
By: Pius Amihere Eduku/citibusinessnews.com/Ghana