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    Tuesday, December 14, 2021

    MTN Nigeria’s 575m Shares Public Offer Closes

    As part of moves to increase Nigerian market penetration which currently stands at 50 per cent market share and 89 per cent population coverage, respectively, MTN Nigeria offers  575 million shares at N169 per share earlier this month.

    The application list for the ongoing retail public offering by Nigeria’s largest telecommunications company, MTN Nigeria Communications (MTN Nigeria) Plc will close by the end of business today.

    Application list for the offer had opened on December 1, 2021 and it is scheduled to close by 5.00 pm on December 14, 2021.

    Officials of MTN Nigeria and receiving agents to the offer said the closing date remains as scheduled. There was no indication of any extension of the offer period as at the close of business yesterday.

    Under the rules, the issuing company must apply and receive the approval of Nigeria’s apex capital market regulator, Securities and Exchange Commission (SEC) for any extension of an offer period. The parties to the offer did not indicate any such application or approval.

    Minimum subscription to the retail offer is 20 shares and thereafter in multiples of 20 shares. The offer includes a bonus share of one share for every 20 shares bought by a retail investor subject to maximum bonus shares of 250 per investor.

    However, to qualify for the free share such retail investors must hold the shares allotted to the after the allotment date for at least a period of 12 months.

    The public offer is an offer for sale by MTN Group, which is divesting part of its shares in MTN Nigeria to allow Nigerian institutional and retail investors to buy equities in the telecommunications giant. The book building for institutional investors was done last week with a price range of N165 and N175.

    Beside the inclusion of bonus share in the public offer, the MTN Nigeria’s public offer is also setting record as the first to be delivered through a digital platform, thus facilitating maximum participation by investors.

    Investors can submit applications through the issuing houses, stockbrokers, banks and online through a unique digital application platform, PrimaryOffer, administered by the Nigerian Exchange (NGX) Limited.

    Chief Executive Officer, MTN Nigeria Communications (MTN Nigeria) Plc, Karl Toriola, said the success and growth of MTN Nigeria is intrinsically linked to that of Nigeria and Nigerians and it is very exciting 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 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 the evolving telecommunications, digital and fintech segments,” Toriola said.

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

    He noted that in the last 20 years, the group has worked diligently to connect 68 million subscribers onto voice and data networks and ensure that it delivers 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.

    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 play our humble role in driving digital and financial inclusion across the country over the medium-term,” Mupita said.

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