Investors are choosing to sell off their positions in the banking sector and ENSA to secure funds for the telecom operator.
The official launch of the public offering of 15% of Unitel’s share capital caused an immediate shock in the secondary stock market of the Angola Debt and Securities Exchange (BODIVA). In a knee-jerk reaction that analysts describe as a classic “portfolio reallocation” move, all listed companies recorded significant losses.
Experts maintain that this dynamic, in addition to reflecting Unitel’s strong attractiveness premium, exposes the structural liquidity shortage that still characterizes the national financial market. In the absence of new capital injections into the system, both institutional and retail investors are compelled to liquidate their current positions in order to finance their subscription to the new IPO.
BCGA and BAI at the Center of Selling Pressure
On the first day, Banco Caixa Geral Angola (BCGA) was the stock with the largest decline, falling 13.04%, which brought its share price to 20,000 Kz. Similarly, Banco Angolano de Investimentos (BAI), the most liquid stock on the market, fell 6.53% to 93,000 Kz per share.
Not even the shares of Banco de Fomento Angola (BFA), the company with the second-largest market capitalization, escaped the technical correction trend. BFA shares fell 3.35% to 101,000 Kz.
The insurance sector, represented on the stock exchange by ENSA shares, also felt the direct impact. The insurer’s shares fell 2.94% to close at 33,000 Kz.
Finally, BODIVA’s own shares recorded a marginal decline, falling 0.63% to close at 79,500 Kz.
Source: Jornal Mercado
