South African telecoms company MTN Group says preparations for an initial public offering (IPO) of its Nigerian unit are currently underway, with the process expected to be concluded within the next six months. ‘We have a lot of advisers running around getting everything ready,’ MTN’s CEO Rob Shuter said in an interview with Bloomberg TV, adding: ‘It’s a complicated process and there’s a lot of regulation that needs to be arranged. We are moving forward well with the project and anticipate concluding that in the next six months or so.’
MTN Nigeria revealed in July 2016 that it planned to list its shares on the Nigerian Stock Exchange (NSE), subject to suitable market conditions, and had appointed Citigroup and Stanbic IBTC Capital as joint transaction advisors and global coordinators. The planned IPO forms part of a settlement arrangement with the Nigerian government regarding a NGN330 billion (USD919 million) fine given to MTN Nigeria, the country’s largest cellco by subscribers, in October 2015 for missing a deadline to disconnect around 5.1 million incompletely registered subscribers.