Capitec makes first big move after its name change
Capitec Limited, formerly known as Capitec Bank Holdings Limited, has received approval for a secondary listing on A2X Markets.
The move follows the group’s name change, which became effective on 26 August and was finalised at the end of the month.
Capitec will maintain its primary listing on the Johannesburg Stock Exchange (JSE), and its overall share capital will remain unchanged.
Under its new name, the finance group believes it is better aligned with the group’s current evolution.
While it started life as a bank in 2001, it has since moved beyond banking services into areas such as insurance and telecoms.
Despite the name change, the company will continue to be listed in the banking sector of the JSE’s financial industry and will retain the same ticker.
By listing on A2X, Capitec is providing its shareholders with more trading options, which is anticipated to facilitate the buying and selling of shares to enhance liquidity.
“Our secondary listing on A2X supports our commitment to creating value for shareholders by providing access to an additional trading venue and enhanced liquidity,” said Capitec Chief Financial Officer Grant Hardy.
Capitec has joined several South African banking groups with secondary listings on A2X.
A2X is a licensed stock exchange in South Africa, regulated by the Financial Sector Conduct Authority and the Prudential Authority of the South African Reserve Bank under the Financial Markets Act.
It serves as an alternative platform for buying and selling shares.
Companies that already have a primary listing on another exchange, such as the JSE, can list their shares on A2X without changing their overall share capital.
Launched in 2017, A2X aims to promote competition in South Africa’s capital markets by providing technology and market infrastructure.
“We are pleased to welcome Capitec to A2X. Capitec has established itself as one of South Africa’s leading banking groups, and its listing further strengthens the diversity and depth of the A2X market,” said A2X CEO Kevin Brady.
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