MTN Group Ltd. said Tuesday that it is launching a public offering for the placing of up to 575 million shares held in MTN Nigeria, which will be priced at N169 a share.
The telecom giant said this in a regulatory filing, two years after MTN Nigeria became a listed entity in the local bourse. The telecommunications company based in South Africa said the offer will open on Dec. 1 and close on Dec. 14.
The minimum subscription is for 20 shares and a lot of 20 shares thereafter. MTN said 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 company said this incentive is open to retail investors who buy and hold the shares allotted to them for 12-months, post allotment date.
Commenting on the price announcement, Karl Toriola, Chief Executive Officer of MTN Nigeria Plc said, “the success of and growth of MTN is 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 become the largest network in Nigeria has been humbling, but we still have a long way to go. There is much 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 evolving telecommunications, digital and fintech segments”, Toriola added.
“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% over time,” President and Chief Executive Ralph Mupita said.