ICON Properties lists on Malawi Stock Exchange; opens Initial Public Offer of shares

Chichiri Shopping Mall is one of ICON’s properties

By Duncan Mlanjira

Newly-formed ICON Properties, a subsidiary of NICO Holdings, which aims at transforming the real estate landscape to the next level so that they continue to being the market leader, has successfully listed on the Malawi Stock Exchange and on Friday, December 7 opened the Initial Public Offer of shares (IPO).

This was announced on Friday the director of the Board of ICON Properties, Vizenge Kumwenda at a press conference held at NICO Holdings boardroom at Chibisa House in Blantyre’s Central Business District where he said they are issuing 1.68 billion shares at a price of K8.75 each.

Also Chibisa House in Blantyre

“This represents 25% of the total value of the company and we hope to raise K14.7 billion,” Kumwenda said. “The funds to be raised from the IPO will go into new ICONic infrastructure projects that will transform the property landscape in Malawi.

“This will also enhance the potential returns to the ICON shareholders. ICON is a very strong and sound company whose business portfolio includes highly valued real estate assets with very solid returns.

“ICON is listing after a 10-year break on the Malawi Stock Exchange and we are pleased that we are re-igniting activity in the capital market.”

ICON is a subsidiary of NICO Holdings, which was the first company to list on the Malawi Stock Exchange.

And Kang’ombe Building in Lilongwe

“ICON is a product of an extensive collaborative effort among many parties and we worked very closely with other stakeholders to realize this dream of providing additional investment avenue for investors with a high potential for good returns.

“The IPO official opens today, December 7 and will remain open until December 28 and the listing will take place on the 21st January, 2019. Interested investors can obtain application forms and the prospectus from the receiving banks which are NBS Bank and Standard Bank and from all stock braking firms.

“We want to give the public an opportunity to be owners in a truly great company and we encourage all Malawians to participate in this IPO. With as little as K50,000 one can become a shareholder of ICON,” he said.

In announcing the launch of ICON on November 13, Kumwenda had said was formed with the objective of owning, leasing, managing and developing of commercial, industrial, and retail properties. 

ICON’s properties are located in major economic centres in Malawi and include landmarks shopping malls, prime office buildings and key industrial sites and some of the landmark properties include Chichiri Shopping Mall — the largest in Blantyre located at a major junction on key roads connecting various parts of the city; Lilongwe City Mall also located in the busiest commercial district in Lilongwe Old Town and Kang’ombe House which is the tallest commercial office building in Malawi located in the high street of the Capital City Centre.

It has assets across all the three regions of Malawi that are well positioned to capture middle and upper class retail spending and was incorporated in Malawi on 4th of June 2018 and incorporated to a public limited company on 11th October 2018. 

“The company’s mission is to be at the forefront of success, quality property investment and developments in Malawi and to provide maximum returns for all stakeholders. The number of properties in their portfolio is 22 at the value of MK50.04 billion.

“These properties haveattracted tenants that comprise market leaders in banking and finance, internationaldevelopment institutions, United Nations organisations, local blue-chip companies and high-end food and fashion retailers,” Kumwenda had said.

The company’s shareholding after its portfolio restructuring as at 1st November 2018 are NICO Life Insurance Company as major shareholder at 63.17%, Pension Funds of Standard Bank, National Bank, Magetsi, Limbe Leaf Tobacco, Illovo Sugar, SUCOMA, Puma Energy, Toyota Malawi, Press Corporation, Associated Pension Trust, National Investment Trust Plc, Investment Alliance Limited, NBC Bank Plc, M.E. Kondowe and Limodzi Investment Limited.