MTN Nigeria, the country’s largest mobile operator by subscribers, is set to list on the Nigeria Stock Exchange (NSE) today (16 May 2019). As a first step, this will be achieved via ‘a listing by introduction’, meaning that the shares of existing MTN Nigeria shareholders will be listed and traded without an additional public sale. Around 20.4 billion shares will be listed on the Nigerian bourse at a price of NGN90 (USD0.25) each. Eventually, MTN intends to follow this with 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%.
‘At MTN Group we are very pleased that we are taking this first and important step towards increasing the local ownership of the company, and building the equity capital markets in Nigeria,’ commented MTN Group’s CFO, Ralph Mupita.
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 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.