Against the backdrop of expectations that MTN Nigeria would get listed on the Nigerian Stock Exchange (NSE) once it resolves the disputed N780 billion fine with the Nigerian Communications Commission (NCC), MTN Group says it has no plans to list in Nigeria.
Earlier media reports following the announcement of the company’s full-year financial results for the year ended December 31, 2015, suggested that the only thing stopping the Group from listing in Nigeria was the N780 billion imposed on the telco for failing to comply with directives from the NCC to disconnect 5.1 million improperly registered SIM cards, and was planning to list as soon as the matter was resolved.
However, in a statement issued by Chris Maroleng, corporate affairs executive, MTN Group, Tuesday, the Group said it was concerned about the inaccuracies reported in the media last week, as this was not true.
“The correct comment, as expressed by Phuthuma Nhleko, the executive chairman, is that MTN could consider listing the local operation, MTN Nigeria, not the Group. As a result, reports that MTN is considering a secondary listing in Nigeria are misleading,” Maroleng said.
Phuthuma Nhleko and his senior leadership team, held a media press briefing following the announcement of the Group full-year financial results where important topics where discussed and thereafter, media reports came out on MTN’s plans to list in Nigeria.
“The listing of MTN Nigeria, as indicated in the media briefing, remains a consideration, it is not a planned listing, as suggested in some of the media reports. Also important to correct is that the current shareholding in MTN Nigeria available for Over-The-Counter (OTC) trading constitutes approximately 10 percent of MTN Nigeria.
“Also worrying are reports that MTN has $22 billion stuck in Nigeria. This is completely inaccurate. MTN Nigeria has the cash equivalent of approximately R24.6 billion with some R26.2 billion in debt, implying a net debt position of R1.7 billion,” the statement read.
The telecoms firm shares rose the most in a month as a result of the announcement of its financial statement. The shares climbed 7 percent to R145.27 on the Johannesburg Stock Exchange.
However, attracting MTN to list on the NSE would be a big win for the bourse, which has sought to encourage more listings from large private firms operating in the country.
