MTN Nigeria Will List On The Nigerian Stock Exchange

Just as MTN announced its final settlement of its fine with the Nigerian government, there are indications that the company will be floating part of its ordinary shares on the Nigerian Stock Exchange.

According to sources at the company, MTN will take ‘immediate’ steps to list shares of its Nigerian unit on The Exchange.

If this is followed with all sense of seriousness by MTN, the listing might happen towards the end of the year.

The company will have to start its application and filing with the Securities and Exchange Commission before concluding plans with The Exchange on the modality for the IPO.

At its Q1 2016 analysts call conference, Phuthuma Nhleko, MTN’s Group CEO, said:

“We have had a local minority partner in Nigeria since day one. And in fact the local shareholding is at 22%. So I think just to correct that. Having said that, could a listing enhance the broadness and depth of participation by Nigerians in a pretty important company in Nigeria? The answer is yes. And I think we are on record to say that we are not adverse under the right conditions to look at floating MTN Nigeria.

I think as far as your second question about other countries, I think virtually all the countries we’ve got minority shareholders with the exception of South Africa of course. But that has been the standard stock in trade and principle of MTN to ensure that we’ve got good local partners in all of our operations. So I think that is really where we are. I mean obviously it doesn’t mean that fully mitigates any challenges that you may have, but it does help considerably”

MTN Group Ltd is quoted on the Johannesburg Stock Exchange, JSE. Its plan to list on the NSE will be the second bourse it will be listed in out of a total of 22 countries with 232.5 million subscribers it has across Africa and the Middle East.

 

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