The government yesterday threatened stern legal actions against telecommunication companies failing to float their shares on the stock market by the December 31 deadline.... Tanzania’s unlisted telecom companies given 3 days to go public

The government yesterday threatened stern legal actions against telecommunication companies failing to float their shares on the stock market by the December 31 deadline.

The Dar es Salaam Stock Exchange Chief (DSE) Executive Officer, Moremi Marwa (middle).

With only three days to the deadline, the Minister of Works, Transport and Communication, Professor Makame Mbarawa, warned that the phone companies failing to list on the Dar es Salaam Stock Exchange (DSE) will be dealt mercilessly.

The minister’s reminder came with only two companies – Vodacom and Tigo – having so far heeded the listing requirement as per the Electronic Postal and Communications Act, 2016. There are seven landline and mobile phone operators in the country so far – Airtel, Smart, Halotel, Tigo, Tanzania Telecommunication Company Limited (TTCL), Vodacom and Zantel.

According to the Markets and Securities Authority (CMSA)’s Principal Public Relations Officer, Mr Charles Shirima, it takes about three weeks for the company to get the Initial Public Offer (IPO) and listing on DSE after submitting an application that meets conditions. He elaborated that the threeweek period is for CMSA to review the submitted application before approving it.

This implies that with the exception of Vodacom and Tigo, all the other firms are at the risk of getting punished. Prof Mbarawa told reporters in Dar es Salaam that among other punishments, the companies will have their licences revoked.ness licenses before July 1, 2016 should offload their 25 per cent shares to the public or risk the wrath of the law,” he charged.

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Staff Writer