AFCON

MTN announces sale of 575m public shares to investors

By Na'ankwat Dariem, Abuja

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The Mobile Telephone Network MTN Nigeria, has announced sale of 575 million shares priced at N169:00 per share, scheduled to commence on December 1.

MTN made the announcement in a press conference on Tuesday in Abuja, Nigeria.

Voice of Nigeria reports that the “Retail Offer” is the first in Nigeria to be delivered via a digital platform.

By using the power of technology, it aims to facilitate the maximum possible participation by Nigerian investors.

The MTN Chief Executive Officer (CEO), Mr Karl Toriola, explained that the offer would open at 8:00 am on December 1, 2021 and close at 5:00 pm on December 14, 2021.

Toriola explained  that the minimum subscription was for 20 shares and lots of 20 shares thereafter, adding that it includes an incentive in the form of one free share for every 20 shares purchased.

“The Offer includes an incentive in the form of one free share for every 20 shares purchased, subject to a maximum of 250 free shares per investor. The incentive is open to retail investors who buy and hold the shares allotted to them for at least 12 months, post the allotment date. The success and growth of MTN Nigeria is intrinsically linked to that of Nigeria and Nigerians,” he said.

The CEO affirmed that MTN had much more to do to support the evolution of an inclusive digital economy.

He also noted that the company would continue to invest as it evolves into a truly digital operator, capable of seamlessly integrating value across the evolving telecommunications, digital and fintech segments.

In his remarks, MTN Group President and Chief Executive Officer, Mr Ralph Mupita, said the offer aligns with MTN Group’s strategic priority to create shared value.

“In the last 20 years, we have worked diligently to connect 68 million subscribers onto voice and data networks and ensure that we deliver the benefits of a modern connected life. With this offer, we will contribute to the further deepening of Nigeria’s equity capital markets. It is the first in a series of transactions as the MTN Group implements its plans to ensure broad-based ownership by reducing its shareholding in MTN Nigeria to 65 per cent over time,” Mupita maintained

The CEO of Nigerian Exchange Limited, Mr Temi Popoola expressed optimism in the offer by MTN, noting that there is no doubt in the ability of this transaction.

Popoola noted that the exchange had invested a notable amount of human resources to get this transaction to where it was today.

He highlighted three key areas that the transaction would be beneficial to the capital market which are: investors’ confidence, number of investors exchange in the capital market and end-to-end digital.

“One of the things that excite us about this is investors’ confidence. This will change the face of the capital market investment of the Nation.

“For a long time, we have spoken about the absence of retail in our capital market particularly the exchange. We have spoken about the absence of certain demographic and geographic representation of Nigerians. We feel that this deal will address confidence, financial literacy and a lot of publicity that will come with this will drive these confidences.

“Secondly the share number of investors exchange in the capital market. The figure of the current active investors is very low. Part of our dream and hope is that this transaction will single-handedly change to multiply what we have which is remarkable.

“Thirdly this transaction which is the most important of all is that it will be the first ever end-to-end digital; in a space of minutes in the comfort of your home, carry out this transaction on your tab or computer which is very remarkable.”

Mr Popoola urged the media to spread the message and enlighten the public through their reportage on the importance of buying the shares and its benefits.

He also used the opportunity to commend the Telecoms regulator, Nigerian Communications Commission and other stakeholders for making this a reality.
Further details and full directory of authorised receiving agents are at www.mtnonline.com/PO.

 

Nneka Ukachukwu

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