MTN set to allot incentive shares to eligible shareholders

MTN Nigeria Communications PLC continues to offer to investors who participated in its initial public offering last January and fulfilled the conditions allowing them to acquire additional shares, the telecom company said in a statement on Saturday.

The Johannesburg-based regional unit of MTN Group Limited completed its initial public offering a year ago, a 139.5% oversubscribed offering that required an additional 86.3 million shares.

It started selling 575 million shares owned by MTN International (Mauritius) Limited but ended up offering 661.3 million to consumers and institutional investors, the latter type of investors including pension funds, asset managers, insurance companies, foreign portfolio companies, entrepreneurs who participated in the bookbuild.

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As promised to investors during the initial public offering, MTN said it will allocate one additional share to shareholders for every 20 purchased and allotted up to a maximum of 250 shares.

Meanwhile, eligible shareholders must have bought and were allotted at least 20 ordinary shares in the offer, the statement said.

Additionally, they must hold a portion or all of the shares allotted to them from the offer as of 31 January, 2023 (the qualification date) subject to holding a minimum of 20 ordinary shares.

The telecom company added that the shareholders must have their names appear in the company’s register of members on the qualification date.

“Qualified shareholders will have their incentive shares credited to their CSCS accounts after the qualification date and obtaining the requisite regulatory approvals,” the document said.

The offer saw 114,938 new CSCS accounts opened for representing new market participants, with roughly 76 per cent of successful applicants via digital platforms being women and 85 per cent below the age of 40.

MTN is currently Nigeria’s second biggest company by market value with a market capitalization of N4.7 trillion.

 

 

 

 

 

 

 

 

 

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