WED, MAY 15 2019-theG&BJournal-After almost two decades as a private company, the most highly valued Telecoms Company in Nigeria is finally making its market debut tomorrow. The telecoms giant is due to price shares in its much anticipated listing after the market closes Thursday. The listing is expected to place the company top as one of the most capitalised company in the Nigerian Stock Exchange (NSE).
MTN submitted its confidential to the Nigerian Securities and Exchange Commission (SEC) MAY 7, the first real serious indication of its intentions and at the same time registered 20,354,513,050 ordinary shares of N0.02- a significant chunk and with potential to reshape the stock market.
The journey began in April 2018 when it entered into discussion with SEC for a 500 million dollars Initial Public Offering (IPO). Prior that, Standard Bank Group Ltd. and Citigroup Inc. had been advising MTN on the disposal of as much as 30 per cent of its Nigerian unit on the NSE. Nigerian investment firm, Chapel Hill Denham, was positioned as the lead manager for the planned sale of 500 million dollars shares in its Nigerian business. South Africa’s Rand Merchant Bank, Renaissance Capital and Vetiva Capital were appointed as joint issuers to the offer. At the same time it appointed seven placement agents that would help market the shares.
MTN’s listing, which is by way of introduction, will make this one of the best fund raising quarter in Nigeria. Its stock will be listed on the Premium Board category which currently includes only Access Bank, Seplat, UBA, FBNH, Zenith Bank WAPCO and DangCEM.
According to analysts at Cordros Securities, ‘’compared to the previous OTC structure, the upcoming listing portends significant liquidity opportunity for all existing holders of MTNN’s shares.’’
Holders of the company’s shares had been advised late in April of the transfer of their shares into the Central Securities Clearing Systems (CSCS).
‘’We can confirm that shareholders who have forwarded their duly executed Share Transfer Forms to the Nominee will be able to trade their shares upon listing, given that their individual CSSC accounts have already been credited,’’ Cordros Securities said today in a note made available to theG&BJournal.
|twitter:@theGBJournal|email: info@govandbusinessjournal.com.ng|
