Fidelity bank banner NewsExpress advert
MTN Nigeria eyes $5.2bn debut listing in July

By Chijioke Ohuocha on 01/03/2018

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 802


MTN plans to list its Nigerian unit worth $5.23 billion by July in a debut IPO on the Lagos bourse and will raise fresh funds to reduce debt, according to pre-IPO presentation seen by Reuters.

MTN aims to raise at least $400 million from the IPO to pay preference shareholders and is preparing to file application to the Securities and Exchange Commission to launch the offer after getting approvals from existing investors last week, sources with knowledge of the matter said.

Nigeria’s biggest telecoms operator plans to go on roadshow between May and June 2018, according to the presentation and list on Nigeria’s bourse between June and July. It will now need to appoint professional parties to the offer.

MTN Nigeria has around 402 million shares in issue, the same amount in preference shares, which it sold at $0.99 in 2007.

As part of the IPO it would split one share into 50 units, to create 20 billion shares, which would be listed on the bourse and set the IPO price via book building.

MTN declined to comment on the IPO.

IPOs dried up in Nigeria after a 2008 crash wiped more than 60 percent off the stock market’s capitalisation. The index has since recovered, gaining 42.3 percent last year and 11 percent so far this year but IPOs have yet to resume.

MTN shares are currently traded over-the-counter in Nigeria at $13, giving it a market value of $5.23 billion, down from $25 billion in 2015 before a Nigerian government fine, sources said.

The company would use the proceeds of the share sale to redeem preference shares issued to existing investors who bought the shares 11-years ago and also cut its dollar exposure.

MTN wants to achieve a “retail friendly” offer price for the IPO, it said in the pre-IPO document, of around 80 naira per share, the average price for shares listed on Nigeria’s bourse.

And it would split its nominal value to 2 kobo from one naira. South Africa’s MTN owns more than 70 percent of MTN Nigeria, which has under 300 existing shareholders.

Africa’s biggest mobile phone operator had planned to list its Nigerian unit in 2017, part of an agreement with the government, but delayed the IPO due to market conditions.

The telecoms firm has now revived those plans and is considering hiring a public relations firm to manage communications ahead of the listing in Nigeria in addition to its South African advisers.

In 2016 the telecom firm said it would list its local unit on the Nigerian Stock Exchange, in a settlement with the Nigerian government over unregistered SIM cards that cost it $1.7 billion fine. (Reuters)

Source News Express

Posted 01/03/2018 11:17:43 AM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

REVEALED: 3 natural ways to get stronger erections, last 25 minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

 

You may also like...
Unlawful detention: Dasuki wants N15bn from FG; plus...

Buhari will rescue remaining Dapchi schoolgirl from Boko...

US Report accuses Nigerian Police, Army of monumental...

Monitor performance of your graduates, Abe urges universities...

5 injured as US-bound flight makes emergency landing...

Obaseki to address shortage of teachers, lauds Igbanke...

Finance Minister canvasses tax reliefs for genuine exporters...

Nigeria to look inwards to overcome economic challenges:...

2019: Buhari strong enough to run — Presidency...

Money Laundering: Court shifts Dasuki’s trial to May...

Badoo: Lagos CP, Ikorodu monarchs, traditional chiefs in...

Hackers steal $10m from U.S., Russian banks

 

Latest News Sallah Tragedy: 11 youths perish in Katsina road accident Rice smuggling: Nigeria to shut land border soon N385m debt: Union Homes sues Stella Oduah Airforce begins bombardment of Zamfara bandits Capital Projects Funds: HEDA petitions ICPC, seeks probe of Lagos lawmaker who gave wife N100m car gift 2019: U.S.-based woman joins presidential race NAFDAC wants stiffer penalty for drug counterfeiters Abuja airport records 1.02m passengers in Q1 – FAAN Adamawa Governor declares 3-day mourning as Chief of Staff dies in Mecca Audi CEO arrested in Germany over diesel scandal Okowa seeks support for traditional institutions Marafa joins Zamfara governorship race

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (351,699 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (350,812 views) Shameless Genevieve Nnaji exposes breasts in public (279,684 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (229,654 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (208,772 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (208,292 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (181,429 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (163,506 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (153,592 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (148,217 views) Lagos plane crash: Journalist releases victims’ names (143,570 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (135,436 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (50) Business & Economy (3,243) Business Verdict (44) Columnists (868) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (504) Features (606) Global Business Monitor (282) International (2,035) Interview (153) Live Commentary (28) Love Matters (123) News (36,289) Opinion (1,003) Pidgin (10) Politics (5,273) Religion (770) Sports (1,549) Stock Watch (30) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

Portugal v Spain 2018

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement