Abstract:
This study seeks to examine institutional frameworks that exist in Botswana to protect
the rights of ordinary shareholders. There is no literature on the subject matter in
the context of Botswana; hence this study attempts to fill in the literature gap. The
study uses a variety of data collection methods, such as semi-structured interviews, the
Choppies case study and lessons learnt from other jurisdictions. Findings reveal that
ordinary shareholders’ rights protection involves the use of institutional frameworks. In
Botswana, existing frameworks are not adequate to protect ordinary shareholders’ rights.
Furthermore, the study shows that ordinary shareholders in Botswana are mainly exposed
to risks of losing their investments, partially or entirely, in case of non-compliance to
regulatory requirements as shown by the reduction in Choppies’ stock price from P1.20
to P0.40 between years 2012 and 2018. The study suggests that the existing institutional
frameworks should be reviewed to ensure adequate protection of ordinary shareholders’
rights.
Description:
The series comprises of papers which reflect work in progress, which may be of interest
to researchers and policy makers, or of a public education character. Working papers
may already have been published elsewhere or may appear in other publications.
