Securities and Exchange Commission lifts ban on IPO of ADB

The Securities and Exchange Commission (SEC) has lifted the ban it imposed on the Initial Public Offering (IPO) of the Agricultural Development Bank (ADB).

The regulator on May 10 in a statement announced that it has frozen all activities that would pave the way for the Bank to list on the exchange after its public offer.

The action by the Commission was influenced by a petition from ADB board on its offer.  

However in a statement copied to JOYBUSINESS, SEC says it has lifted the ban on activities of ADB’s Initial Public Offering.

According to the regulator, it took the action after the Board of the Bank wrote to the Commission on May 19 to withdraw an earlier petition.  

Analysts say this could now pave the way for the bank to go ahead and list on the Stock Exchange after it failed to meet the April 25 deadline to start trading.

This development could have resulted in the Bank being asked by the Commission to return the about ¢450 million raised from the offer to investors.

This is because the Bank also failed again to meet the May 5 extension granted by the regulator.