South African telecoms company MTN Group expects to list its Nigerian unit by July, according to a report by Reuters. MTN plans to raise at least USD400 million from the initial public offering (IPO), with sources stating that the group is preparing to file an application to the Securities and Exchange Commission to launch the offer, after getting approvals from existing investors last week. MTN plans an offer price of around NGN80 (USD0.2) per share for the IPO.
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 fine handed to MTN Nigeria in October 2015 for missing a deadline to disconnect around 5.1 million incompletely registered subscribers.