MTN Nigeria opens sale of 575m shares to retail investors at N169 

From Wednesday, December 1, 2021, MTN Nigeria’s shares will be priced at N169 per share as the wireless carrier opens up the sale offer for its 575 million shares held in the company by MTN Group.

The largest provider of telecommunication services in Africa in a disclosure filed to the Nigerian Exchange Limited said the offer will open on December 1 at 8:00 am and close at 5:00 pm on December 14, 2021, with the minimum subscription placed at 20 shares and lots of 20 shares thereafter. The company also said the offer includes an incentive open to retail investors who buy and hold the shares for at least 12 post allotment date in the form of 1 free share for every 20 shares purchased and subject to a maximum of 250 free shares per investor.

The retail offer will be the first in Nigeria to be delivered by the use of a digital platform and the use of technology with the aim of facilitating the maximum possible participation of Nigerian investors. Investors will be able to submit applications through the issuing houses, receiving agents who are authorized stockbrokers and Nigerian banks, and can also be done online through a unique application platform, primaryOffer administered by the NGX.

Karl Toriola, chief executive officer, MTN Nigeria, commenting on the price announcement, said: “The success and growth of MTN Nigeria are intrinsically linked to that of Nigeria and Nigerians. Therefore, we are very excited to offer Nigerians the opportunity to own shares in MTN Nigeria.

“Our journey to becoming the largest network in Nigeria has been humbling, but we still have a long way to go. There is more to do to support the evolution of an inclusive digital economy, and we continue to invest as we evolve into a truly digital operator, capable of seamlessly integrating value across the evolving telecommunications, digital and fintech segments,” he concluded.

Also, Ralph Mupita, president and chief executive officer, MTN Group, said the offer to retail investors is in alignment with the Group’s strategic priority to create shared value.

Mupita said: “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 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 percent over time.

“We thank the Nigerian authorities for the support we as MTN Group have received in the various approvals related to this offer, and remain committed to our humble role in driving digital and financial inclusion across the country over the medium term,” he added.

As already noted by some analysts across the market, it is believed that this public offer for sale presents a unique opportunity for retail investors to acquire ownership interests in MTN Nigeria.