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Erudite AfricaCenter of Excellence
← Equity Capital Markets (ECM)

The IPO process, the prospectus and readiness

Module 02 / 5 · 65 min

Run an Ethiopian IPO from readiness to listing day, read a prospectus critically, and assess whether an issuer is ready.

In this module you will learn to

  • Sequence the IPO process from readiness to listing and name the parties and documents at each step
  • Compute the ECMA registration fee for a share offer under Directive No. 996/2024
  • Read a prospectus critically: risk factors, use of proceeds, financials, valuation and offer terms
  • Assess IPO readiness across governance, reporting, systems, tax and group structure, and plan the fixes

Built on

  • Erudite Africa training module: Ethiopian Context, topic 3.e Equity Capital Markets (ECM), Levels 1 and 2 (October 2026), extended to Advanced depth
  • Capital Market Proclamation No. 1248/2021 and ECMA Fee Directive No. 996/2024; ECMA Directive No. 1030/2024 on public offers (reported in the program register, text to confirm)
  • Ethiopian Securities Exchange Rulebook (December 2024): Main Board Rule 5.1, Growth Board Rule 6.1 and trading rules
  • NBE directives as listed in the lessons: SBB/95/2025, SBB/91/2024, SBB/90/2024, SBB/89/2024, SBB/88/2024, SBB/87/2024 and SBB/78/2021 (reported)
  • Commercial Code Proclamation No. 1243/2021 on share issues and pre-emption (provisions described in general terms)
  • Public reports of the Ethio telecom 2024 share offer, used as a teaching case

Examples and companies are fictional. Bank practices are shown as typical Ethiopian practice, not as any one bank's policy. Always apply your own institution's approved policy and the current NBE directives.