MTN Nigeria Share Sale Oversubscribed as Profits Surge; Women Top

MTN Nigeria Share Sale Oversubscribed as Profits Surge ; Women Top

By Bashir Olanrewaju

MTN Nigeria said its recent shares sell was oversubscribed by 139 percent amid surging earnings, with women making up 76 percent of the buyers.

A total of 801.97 million applications were sent in for 661.25 million shares that were issued, MTN said in a filing to the Nigerian Exchange, adding that an additional 86 million shares were created to meet the demand bt retail investors. More than 85 percent of the applicants were under 40 years.

“With over 6.6 million Nigerians directly or indirectly becoming shareholders in MTN Nigeria, the objective of broadening the shareholder base, and creating shared value has been achieved,” MTN Group’s Chief Executive Officer Ralph Mupita said of the company’s most profitable unit.

MTN Nigeria accounts for about a third of the group’s global income, a trend maintained in the company’s 2021 results, also released this week.

Profit after tax jumped 46 percent to 298.6 billion naira while revenue surged 23 percent to 1.65 trillion naira. The company has recommended a dividend of 8.75 naira for each ordinary share. This pushes the dividend for the year to 13.12 percent, after an interim dividend of 4.55 naira in last June.