Uganda Securities Exchange


The Uganda Securities Exchange is the principal stock exchange of Uganda. It was founded in June 1997. The USE is operated under the jurisdiction of Uganda's Capital Markets Authority, which in turn reports to the Bank of Uganda, Uganda's central bank.
The exchange opened to trading in January 1998. At that time, the exchange had just one listing, a bond issued by the East African Development Bank. Trading was limited to only a handful of trades per week.
As of July 2014, the USE traded 16 listed local and East African companies and had started the trading of fixed income instruments. The exchange is a member of the African Stock Exchanges Association.
The USE operates in close association with the Dar es Salaam Stock Exchange in Tanzania, the Rwanda Stock Exchange, and the Nairobi Stock Exchange in Kenya. According to published reports in 2013, there were plans to integrate the four exchanges to form a single East African bourse.
Uganda All Stock Index is the benchmark Index of the Uganda Securities Exchange.

Trading

A published report in February 2011 claimed that USE would increase trading to five days a week in March 2011.
During the first quarter of 2010, the USE adopted the Settlement and Clearing Depository electronic trading system. According to a published report in January 2011, other electronic modalities were being considered for the exchange. In 2010, the USE was the best performing stock exchange in Sub-Saharan Africa, with an All-Shares Index return of 74 percent between January and November 2010. On 20 July 2015, the USE initiated its electronic trading platform, backed by three independent data servers, cutting to three days the time it takes to settle trades.

Market listing

'
NumberSymbolCompanyNotes
1.BOBUBank of Baroda Finance, banking
2.BATUBritish American TobaccoTobacco products
3.DFCUDFCU GroupFinance, banking
4.EABLEast African BreweriesBrewing, gin, distilled beverages
5.JHLJubilee HoldingsInsurance
6.KAKenya AirwaysAviation
7. KCBKCB GroupFinance, banking
8.NVLNew Vision GroupPrinting, publishing, broadcasting, television
9.SBUStanbic Bank Uganda LimitedFinance, banking
10.UCLUganda Clays LimitedManufacturing, construction materials
11.EBLEquity Group Holdings LimitedBanking, finance
12.NICNational Insurance CorporationInsurance
13.UCHMUchumi SupermarketsSupermarkets
14.NMGNation Media GroupPublishing, printing, broadcasting, television
15.CENTCentum InvestmentsInvestments, private equity, real estate
16.UMEMEUmemePower distribution
17.CQCIL'''Cipla Quality Chemical Industries LimitedPharmaceutical manufacturing

Ownership

The exchange is owned by 16 stock brokers. In August 2016, a law was passed to allow the owners to sell shares in the stock exchange to members of the public through an initial public offering. On 18 May 2017, the USE demutualised and registered as a "public company, limited by shares". Its authorised share capital is Shs1 billion, consisting of 100 million shares of Sh10 each. At incorporation, the paid up capital was Shs42 million, with each of the founding investor firms owning 6,000,000 shares, each valued at Shs10 each.
The shareholding in the stock of the Uganda Securities Exchange is as depicted in the table below.
RankName of OwnerPercentage Ownership
1African Alliance Uganda Limited
14.29
2Baroda Capital Limited
14.29
3Crane Financial Services Limited
14.29
4
14.29
5Dyer & Blair Uganda Limited
14.29
6Equity Stock Brokers Uganda Limited
14.29
7UAP Old Mutual Financial Services Limited
14.29
Total
100.00

Note The totals are slightly off due to rounding.