The public offering of BIIC shares allows the Beninese government to raise significant funds while scaling back its stake in the bank. The shares will be listed on the BRVM, making BIIC the third Beninese company to join the regional stock market.

Benin’s government has secured over CFA100 billion ($165.6 million) by selling more than 33% of its shares in Banque Internationale pour l’Industrie et le Commerce (BIIC). While this public offering raised a significant amount, the state did not fully meet its initial target of selling between 30.4% and 40% of the bank’s capital to generate between CFA92.2 billion and CFA121.3 billion.

A Step Toward Privatization

The shares were acquired by regional asset management and brokerage firms, though the exact distribution has not been disclosed. In the coming weeks, BIIC will be listed on the sub-regional stock exchange (BRVM), making it the third Beninese company on the regional stock exchange, alongside the Loterie Nationale du Bénin (LNB) and BOA Bénin.

With this transaction, the state’s stake in BIIC has dropped from 51.26% to around 18%. The move is part of a broader strategy to free up government funds for major development projects while boosting the private sector’s role in the banking industry. Beyond providing financial resources, the deal strengthens the regional stock market and encourages private investment in the banking sector.

The public offering launched on December 24, 2024, aimed to sell between 17.56 million and 23.1 million shares at a fixed price of CFA5,250 per share. The process, which began on January 13, 2025, closed on February 28, with EDC Investment Corporation, an Ecobank subsidiary, acting as the lead arranger. The syndicate of underwriters included multiple leading firms and 31 brokerage companies.

This sale aligns with the government’s ongoing strategy of gradually reducing its holdings in public enterprises. In October 2024, Benin raised CFA43 billion by selling 7 million shares of LNB.

BIIC: A Key Player in Benin’s Banking Sector

BIIC was formed in 2020 through the merger of Banque Internationale du Bénin (BIBE) and Banque Africaine pour l’Industrie et le Commerce (BAIC). As of the first half of 2024, it was Benin’s leading bank in total assets, loans, securities, and customer deposits, ahead of competitors such as BOA, Coris Bank, and Ecobank.

By June 30, 2024, BIIC had total assets of CFA1.41 trillion, representing 22% of the country’s banking assets. With equity capital of CFA107.9 billion, or 21% of the sector’s total equity, it is the second most capitalized bank in Benin.