The South Africa Telecommunication Company MTN Nigeria has announced that it has completed its conversion to change from a private company to a public company (Plc).
MTN’s intended listing on the NSE will create a new telecoms asset class for investors and provide a wider group of Nigerians with a chance to participate in the MTN investment opportunity.
The telecom company, in a statement on Wednesday, said the conversion to a Plc was a legal requirement and key milestone in the preparatory process for its listing by introduction on the Nigerian Stock Exchange.
The move by MTN would enable the company to get listed easily, adding that findings showed that the free float in the Nigerian market would be about 35 per cent.
Transcript of the call revealed that after the phase one, which would be completed by the first half of 2019, the shares would be open to Nigerian investors as part of the second phase of the listing.
MTN Chief Executive Officer, Ferdi Moolman, said, “Our conversion to a Plc is a major step towards listing by introduction on the Nigerian Stock Exchange in the first half of 2019. It is a reaffirmation of our long-term commitment to expanding investment opportunities for Nigerians, in addition to providing everyday services to them. We look forward to continuing our engagement with the Securities and Exchange Commission and the NSE to take forward the listing process.”
In 2018 financial year, MTN added additional 4.5 million active data customers delivering data revenue growth of 39.3 per cent and expanding to 18.7 million the number of people that it connects to the possibilities that the internet provides.
The company earnings for the 2018 financial year, recording growth above inflation in full-service revenue (17.2 per cent) and the addition of nearly 6 million new subscribers to the network. The company announced Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) ofN453.1 billion and expanded EBITDA margins to 43.6 per cent (excluding the CBN resolution amount)S