Nigeria’s Securities and Exchange Commission (SEC) has approved an application from South Africa’s MTN Group to list its Nigerian unit. ‘MTN sought to come to the market by way of an introduction and they wrote to the SEC last week requesting for approval to register its existing shares … That approval has now been granted,’ Reuters cites a statement from the regulator as saying.
Last month MTN Nigeria was converted into a public company ahead of its listing on the Nigerian Stock Exchange (NSE), which is planned for mid-year. This will be achieved via ‘a listing by introduction’ and will be followed by a public offer once market conditions are conducive. Over time, and subject to market conditions, MTN Group anticipates that the participation of Nigerians in the ownership of the business will increase from around 20% to 35%.
MTN Nigeria first revealed in July 2016 that it planned to list its shares on the NSE, as part of a settlement arrangement with the Nigerian government regarding a NGN330 billion (USD912 million) fine handed to the cellco in October 2015 for failing to disconnect around 5.1 million incompletely registered SIM cards. Last year the listing was delayed by a repatriation dispute which was resolved in December.