MTN has announced that its plan to sell 575 million ordinary shares in MTN Nigeria was approved by the Securities and Exchange Commission (SEC).
The share sale offer will be made through a bookbuild to qualified investors, and a fixed price to retail investors.
The Institutional Offer opens on 23 November 2021 and closes at 15:00 on 26 November 2021 (SA time), after which a fixed price will be determined for the retail offer.
MTN said the retail offer is proposed to open after the institutional offer, and an announcement will be published in this regard once clearance is obtained from the SEC.
“MTN Group is pleased with the launch of this public offer. This is the first step in a series of offers over the near to medium-term for MTN Group to sell-down a total of up to 14% shareholding in MTN Nigeria,” said group president and chief executive officer Ralph Mupita.
“This should result in greater ownership by Nigerian institutional and retail shareholders, and increased liquidity of the share on the Nigerian Stock Exchange.”
The MTN Group currently holds a 78.8% shareholding in MTN Nigeria.
Bloomberg previously reported that MTN plans to sell shares in its Nigerian unit worth about 101 billion naira (R3.89 billion).
This is part of MTN’s plan to dispose of assets and pay down debt.