Financing development in Benin: The LNB opens to investors

(7 million shares to be sold 07 at 25 October 2024)

The company soon listed on the Regional Securities Exchange (BRVM), public limited company, the Benin National Lottery (LNB) in collaboration with the Ministry of Economy and Finance, proceeded, Tuesday October 1st 2024, at the launch of the Public Sales Offer (OPV) by transfer of minimum 7 million shares held by the State of Benin in its capital. Followed by introduction to the regional securities exchange (BRVM), this offer aims to make the company, a player in development financing in Benin.

True to its slogan, the National Lottery of Benin (LNB) doesn't just make the audience play, but also to make him win. As evidenced by the launch of the Public Sales Offer (OPV) of 7.000.000 of shares in the capital of the company, followed by an IPO. Extending from 07 at 25 October 2024 with possibility of early closing, this operation whose share price is 4.800 FCFA, and the amount between 33,6 and 43,2 billion FCFA, comes from the desire to promote popular shareholding and contribute to the development of the sub-regional stock market that is the BRVM. Better, through this initiative approved by decree n°2024-1018 of 17 July 2024, adopted by the Council of Ministers of 17 July 2024, the objective is also to mobilize resources without debt for the State ; to improve the governance of the LNB ; and increase the company’s notoriety among the general public. According to Roselyne Abé, General Director of “EDC Investment Corporation (EIC)”, Arranger and Leader of SGIs mobilized for the cause, although the subscription period for the operation is the month of October, subscribers will be able to benefit from dividends not only in the last quarter of the year, but for the whole year, either from January 2024, which allows them to make significant profits at the end 2024. “Someone who buys an LNB share has two advantages. He becomes co-owner of part of the company and this co-ownership entitles him to dividends. But it will also benefit from the evolution of the price on the market. The course today is at 4.800 FCFA. With LNB forecasts, growth is predicted. On the markets, we have yields of up to 8–9%”, explained on the occasion of the launch of the operation, Roselyne Abé, on behalf of the Management and Intermediation Companies (SGI) partners of the operation. This adventure, far from all expectations, is according to the Director General of the LNB, Gaston Zossou, the fruit of rigor in governance, assigned objective contracts, as well as directions of all kinds. With a turnover of approximately 10 billion FCFA in 2016, the LNB, does he know, succeeded, in order to 2023, to make a turnover of 101 billion FCFA. " Today, our heart is delighted. Be distinguished by being able to participate in competitions no longer within Benin, but in our sub-region », he assured, while expressing his gratitude to the Minister of Economy and Finance, Romuald Wadagni whose vision and leadership have enabled convincing results in the games of chance and betting sector. Inviting subscribers to seize the opportunity offered to them by the Beninese State with the LNB, he indicated that following the 101 billion in 2023, the turnover of 2024 is expected to 120 billion FCFA. A trend which should not slow down on 05 coming years.

Support for financing the Beninese economy

In a context of investments in several sectors of activity with the aim of accelerating the growth of the Beninese economy, the shares to be sold under this OPV will be used to continue the implementation of the Government Action Program Projects (PAG II). Congratulating DG Gaston Zossou for the “super satisfactory results” obtained by the LNB as part of the general sanitation program for public enterprises, the Minister of State for the Economy and Finance, Romuald Wadagni, indicated : “The funds raised will make it possible to contribute to the government’s action program, therefore will go directly to structuring programs which will contribute to modernizing the economy, to create more wealth, to create more prosperity for populations. ». A pride, will he support, to see this very first listing of a Beninese public company materialize on the regional stock exchange. This operation which will make the LNB, in the next few days, the first company in the gaming and betting sector to make its IPO in Africa.