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Actis exits Uganda’s power utility completely

The firm has divested 14.3% of the business, which it originally invested in in 2005, through what it described as an ‘over-subscribed offering’.

Actis has sold its remaining holding in Umeme, Uganda's main electricity distribution and supply company, through a capital markets offering.

The divestment of the 14.3 percent stake concludes an exit process initiated in 2012, when the emerging markets investor sold 39.9 percent of Umeme through an IPO on the country's stock exchange. The shares offered through that listing were allocated to East African and international institutions, retail investors and employees.

The firm then sold an additional 45.8 percent share in June 2014, bringing its ownership of the business to 14.3 percent. 

This time around, a block of 12.0 percent was sold to institutional investors including NSSF, the Ugandan pension fund, as well as international funds, Actis said. The remaining 2.3 percent was then offered to domestic retail investors and Umeme's management.

“Since Actis' investment customer connections have more than doubled providing over 800,000 Ugandan households with access to power, and electricity line losses have halved,” the firm said. Actis first invested in Umeme in 2005, when Uganda sought to privatise its power distribution sector. ?