Following MTN‘s application approval to list on the Nigerian Stock Exchange (NSE), a senior management staff at The Exchange, who doesn’t want his name mentioned in the media, has disclosed that the telco, barring unforeseen circumstances, would be listing a total of 20,354,513,050 shares at N90 per share on Thursday, May 16, 2019.
Nairametrics understands that when MTN Nigeria becomes listed at N90 per share, the telco would emerge the second largest company on the nation’s bourse after Dangote Cement Plc, with a market capitalisation of N1.83 trillion.
Nairametrics had earlier reported that the company successfully completed the registration of 20.345 billion ordinary shares of N0.02 each with the Securities and Exchange Commission(SEC).
Also, commenting on the successful registration, MTN Nigeria‘s CEO, Ferdi Moolman, described the development 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
MTN’s Q1 Result: The news of MTN Nigeria‘s NSE debut is coming after the release of its first quarter 2019 report, which indicated that the company recorded steady growth during the period under review.
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Specifically, the Q1 report shows that MTN Group‘s biggest market (i.e., MTN Nigeria), recorded a 13.4% increase in service revenue, year on year. Also, the subsidiary’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) margins also increased by 53.3%.
Upshots – Since the release of the Q1 report, investors have been eagerly anticipating the official commencement of MTN‘s shares trading. Basically, the announcement of steady growth in MTN Nigeria‘s revenue is expected to boost investors’ confidence to buy MTN’s shares with expectations of high dividends payable to shareholders. Similarly, stock brokerage firms should equally be on the line to earn significant fees from the volumes of trade this could provide.