@WegagenBank – Ethiopian Business Review

Gadaa Bank has officially listed its shares on the Ethiopian Securities Exchange (ESX), becoming the second company to join the exchange’s main board, after Wegagen Bank made its debut.

The listing follows the Ethiopian Capital Market Authority’s (ECMA) approval of the bank’s prospectus on June 17, 2025, marking a key milestone for both the two-year-old bank and the ESX, which is yet to commence active trading.

The two-year-old bank, notable for its large and growing shareholder base of over 28,000 investors, listed 1.23 million ordinary shares at a par value of ETB 1,000 each, valuing the institution at ETB 1.23 billion (approximately USD 9 million). This achievement is especially remarkable given Gadaa Bank’s relatively short operational history, marking it as the first in its peer group to reach such a milestone.

The listing fully complies with Capital Market Proclamation No. 1248/2021 and the Public Offer and Trading of Securities Directive No. 1030/2024, underscoring the bank’s commitment to regulatory standards and transparency. The listing includes existing ordinary shares held by shareholders and reflects Gadaa Bank’s pioneering role as an early adopter of Ethiopia’s nascent capital markets.

A ceremony at the ESX headquarters brought together key stakeholders including government officials, financial experts, and members of the media to witness the occasion.

Speaking at the event, Wolde Bulto, CEO of Gadaa Bank, emphasized the importance of the listing:
“The listing will create liquidity for our shareholders and unlock new opportunities for capital formation. This will allow us to expand our reach and introduce innovative financial products and services that genuinely address the diverse needs of our customers.”

Dr. Hassen Hussien, Chairperson of Gadaa Bank, reaffirmed the bank’s vision:
“As a new player in the banking industry, we are committed to building a strong foundation based on trust and transparency. Being listed on the Ethiopian Securities Exchange reaffirms our dedication to transparency, growth, and public participation in our journey. We believe this will enhance our financial capacity, strengthen corporate governance, and improve our trust and credibility in the market.”

Dr. Tilahun E. Kassahun, CEO of the Ethiopian Securities Exchange (ESX), praised the development:
“Today marks yet another proud moment for Ethiopia’s capital market. Gadaa Bank’s listing demonstrates the growing confidence in our Exchange and the value of public markets in driving inclusive economic growth. We commend Gadaa Bank for its leadership and commitment, and we look forward to supporting more institutions in accessing capital, deepening market participation, and building long-term value for the Ethiopian people.”

Wegagen Capital Investment Bank S.C., a subsidiary of Wegagen Bank, officially launched operations, becoming the country’s first private investment bank under the newly established capital market framework.

The inaugural ceremony, held at Hilton Addis Ababa, drew a distinguished audience, including Dr. Tilahun Ismael, CEO of the Ethiopian Securities Exchange (ESX), as well as executives from financial institutions, regulators, and invited guests.

Speaking at the event, Dr. Aklilu Wubet, Chairperson of the Board of Wegagen Capital, emphasized that the bank was formed with a paid-up capital of ETB 385 million, contributed by visionary institutions and individuals who recognize the strategic importance of investment banking in driving national economic growth.

Dr. Aklilu noted that Wegagen Capital is the first private investment bank to be granted an operational license by the Ethiopian Capital Market Authority (ECMA), issued on March 21, 2025. The bank was also the first trading member registered with the Ethiopian Securities Exchange (ESX) on May 14, 2025.

“One of the biggest challenges during formation,” Dr. Aklilu added, “was the scarcity of trained professionals in investment banking. To address this, we invested in capacity building, brought in international expertise, and conducted rigorous profitability analysis—all made possible with strong backing from NBE, ECMA, and ESX.”

Brutawit Dawit Abdi, CEO of Wegagen Capital, highlighted the bank’s mission to set a new benchmark in the financial industry. “As Ethiopia’s pioneering private investment bank, Wegagen Capital carries the responsibility to lead with integrity, innovation, and impact,” she said. “Our formation stems from the pressing need to support capital market growth and fuel national development.”

She outlined the bank’s offerings, which include a full suite of investment banking services tailored to government institutions, public enterprises, corporations, and high-net-worth individuals. Services range from strategic advisory on mergers and acquisitions to capital raising through securities, IPO underwriting, trading and brokerage services, and intermediation between issuers and investors.

Dr. Tilahun Ismael reaffirmed the importance of institutions like Wegagen Capital in building Ethiopia’s capital market ecosystem. “Capital formation is everyone’s responsibility,” he stressed. “We must demystify the concept of capital markets for ordinary Ethiopians, foster a culture of saving, and build the trust necessary to attract foreign investment.”

Wegagen Capital operates independently from Wegagen Bank with its own corporate governance, management, and operational structure. This separation allows the firm to serve as a neutral investment partner for banks and institutions seeking capital market solutions.

Gadaa Bank Joins Ethiopia’s Budding Stock Exchange, Becomes Second Firm to List

Ethiopia Welcomes Its First Private Investment Bank as Wegagen Capital Launches