MTN Nigeria to Sell Shares to Retail Buyers at 169 Naira Each

MTN Nigeria to Sell Shares to Retail Buyers at 169 Naira Each

By Bashir Olanrewaju

MTN Nigeria is starting sale of shares to retail investors from December 1, offering each at 169 naira as it seeks to dispose of 575 million stocks held by its parent company.

The company’s shares had ended the previous day’s trading at 190 naira each, leaving a premium for those who accept the offer billed to close on December 14.

“The offer includes an incentive in the form of one free share for every 20 shares purchased, subject to a maximum of 250 free shares per investor,” the company said in a statement on the website of the Nigerian Exchange. “The incentive is open to retail investors who buy and hold the shares allotted to them at least 12 months, post the allotment date.”

The Nigerian Exchange welcomed the launch of the retail segment of the MTN offer, describing it as “a unique opportunity for wealth creation” for Nigerians.

It “will be the first ever end-to-end digital offer in the Nigerian capital markets,” NGX said in a statement. “In under three minutes, investors will be able to purchase these securities on any mobile device.”

The MTN Nigeria shares being offered are currently held by MTN International Mauritius Ltd. South Africa’s MTN Group Ltd is Africa’s biggest mobile-phone company, with Nigeria’s 68 million subscribers its largest market. The shares will add to MTN stocks previously listed on the exchange, making it one of the most capitalized on the trading platform.