Telecommunication giant, MTN Nigeria, has successfully completed the registration of 20.345 billion ordinary shares of N0.02 each with the Securities and Exchange Commission (SEC).
The company disclosed the completion of the registration, yesterday, after it was listed by introduction on the Nigerian Stock Exchange (NSE). Commenting on the development, the telecoms giant’s CEO, Ferdi Moolman, described the it as a milestone in the company’s listing process.
“I am excited we have achieved another milestone in our listing process, and we want to thank the SEC and the Corporate Affairs Commission (CAC) for supporting us through the process. We have now begun to engage with the NSE to complete the listing process.”– Moolman
Earlier developments: Back in April, MTN Nigeria announced its conversion from a private company to a public company. The conversion to a public company is a legal requirement and a preparatory process for its listing in the NSE.
While still in the preparatory stage, Moolman stated that the listing on NSE would enable new class of investors (particularly Nigerians) to explore investment opportunities in the company.
“MTN’s intended listing on NSE would create a new telecom asset class for investors and provide a wider group of Nigerians with a chance to participate in the MTN investment opportunity.
“It was a re-affirmation of the company’s long-term commitment to expanding investment opportunities for Nigerians, in addition to providing everyday services to them.”
The company’s growth: Having added nearly six million new subscribers last, MTN‘s earnings for the FY 2018 financial year grew by 17.2 percent. Earnings Before Interest, Taxes, Depreciation and Amortisation (EBITDA) was a total of N453.1bn, which indicates 43.6 percent margins expansion in EBITDA margins without CBN’s resolution amount.
In terms of data subscribers, MTN Nigeria has been maintaining a distant top position among other telecoms operators. In 2018, MTN Nigeria added 4.5 million active data customers during the year, delivering data revenue growth of 39.3 percent and expanding to 18.7 million. So far in 2019, the company has maintained by controlling 41% of the total market share.
Growth prospect as MTN target increasing market dominance: Nigeria is one of MTN Group’s largest markets in the world. Therefore, the listing on the NSE is part of the company’s strategy to spur growth and further improve its market dominance. The CEO stated further:
“Nigeria is one of the largest markets within MTN’s portfolio and central to the company’s growth strategy. The upcoming listing is a key milestone for the MTN group and is part of its commitment to localisation in the markets in which it operates.”