MTN Progresses Towards July IPO:
According to Businessday, MTN are using “extensive local marketing” to inform investors of their Initial Public Offering (IPO). MTN aims to generate $400 million (N140 billion) by listing its Nigerian units worth $5.23 billion. Insight by Reuters states the funds will be used to reduce debt. MTN currently has about 402 million shares in issue, which it sold at $0.99 in 2007, during the IPO the group intends to split one (1) share into 50 units, creating 20 billion shares which would be listed on the bourse and be priced by the market. The company aims for a retail price of N80 per share. MTN released its Full-Year (2017) financial report this week; In summary the Groups total revenue decreased by 10.2% to R132.815 billion from R147.920 billion (2016). Earnings Before Tax increased to R9.55 billion from R5.243 billion (2016). Although Nigeria’s regulatory fine on the negatively impacted MTN’s financial performance in 2017, the company has engaged with the Securities and Exchange Commission (SEC), the Nigerian Stock Exchange (NSE) and its shareholders in order to move secure an IPO this year.