Foreign investors purchase more TBL, Vodacom shares

Dar es Salaam. Local investors are continuing to release their TBL and Vodacom Tanzania shares, which allowed an entrance of foreign investors.

The Dar es Salaam Stock Exchange (DSE) daily market reports show that during the first two days of this week, shares valued Sh350 million were floated by local investors of which the largest number were grabbed by foreign investors. The reports shows that out of the total turnover amounted nearly Sh350 million recorded during the first two days of the week, Sh329 million were injected by foreign investors.

Analysts say TBL has been a target for foreign investors for a long time and Vodacom will experience the same trend in future, as telecom is among of the sector targeted by equity investors.

Companies which floated the highest value of the share during the period were Tanzania Breweries Limited (TBL) with Sh174 million followed by Vodacom with Sh157 million. Share prices for both companies improved this week as TBL sold shares at a price of Sh15,000 from Sh14,000 last week, while Vodacom shares traded at the highest price of Sh800 earlier this week from Sh750 last week.

A source from equity markets says number of local investors at TBL have continued to shrink further, while share of foreign investors to a company has continued to improve.

Vodacom Tanzania which floated their shares last year to locals before being helped by foreign investors due to low liquidity capacity of Tanzanians is becoming target for foreign funds and individual investors.

According to the DSE market report, during the first three months, Sh79 billion turnover has been recorded, which foreign investors injected Sh75 billion through buying shares.

During the last quarter of last year, DSE reports show, out of recorded total turnover of Sh195.3 billion, foreign investors injected Sh192.3 billion through buying shares.