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.