Business News
Airtel Africa to list on MSE
Airtel Africa has announced it will list its shares on Malawi’s capital market.
Airtel Africa has announced it preparedness to list its shares on the floor of the Malawi Stock Exchange.
The telecommunications company said it would embark on an Initial Public Offering (IPO) of its Malawian subsidiary on the main market of the Malawi Stock Exchange.
The network provider, which has subsidiaries in 14 African countries, disclosed that its shares would be available for the public to purchase once necessary regulatory approvals had been received. This was made known in a statement published on the Nigerian Stock Exchange (NSE).
Though the company is yet to obtain approval, it said the offering of its shares for sale would also be determined by the condition of the market.
In the statement obtained by Nairametrics, Airtel Africa said its indicative price range for the offer of its local business in Malawi and the “exact number of Shares to be sold in the Offer would be determined in due course.”
Why is Airtel Africa listing in Malawi? It is listing its shares in Malawi in order to comply with the laws of the country. Section 35 of the Communications Act of 2016, regulation 26 (2) of the communication (Telecommunications and Broadcasting Licensing), Regulations of 2016 and Clause 42.2 of the Subsidiary’s operating license requires the company to have at least 20% local Malawian shareholding.
Though the date for its listing wasn’t disclosed, the company disclosed that its subsidiary had employed the services of Standard Bank Plc in Malawi to act as book runner and as Lead Transaction Advisor to the company.
[READ MORE: Airtel to acquire additional spectrum for $70 million)
While Airtel Malawi is one of Airtel’s smaller markets, Airtel Nigeria is its key revenue driver in Africa. The company accounts for 33 million subscribers in Nigeria, making it the second-largest network provider in the country behind MTN Nigeria. It listed in Nigeria in July 2019.
By the number of active subscribers in Africa, Airtel Africa is rated as the second-largest mobile operator in Africa behind MTN. The subsidiaries are in Nigeria, Kenya, Uganda, Rwanda, Tanzania, Malawi Zambia, Niger, Gabon, Chad, Congo Brazzaville, the Democratic Republic of the Congo, Madagascar and Seychelles.
Business
FG to commence construction of 4 new rail projects across the country
The listed rail line projects include Ibadan-Kano, Port Harcourt-Maiduguri, Kano-Maradi and Lagos-Calabar rail lines.
The Minister of Transportation, Rotimi Amaechi, has said that the Federal Government is about to commence 4 new rail line projects in various parts of the country.
The listed rail line projects include Ibadan-Kano, Port Harcourt-Maiduguri, Kano-Maradi and Lagos-Calabar rail lines.
This disclosure was made by Amaechi while speaking at the annual ministerial press briefing on programmes, projects and activities of the Federal Ministry of Transportation and its agencies on Friday in Abuja.
READ: FG to fully launch E-ticketing platform for NRC next week
What the Minister of Transportation is saying
Although the Minister announced that the Federal Government was about to start the rail lines project, he was not specific on the exact dates the projects would start.
Amaechi, in his statement, said, “We have awarded the following contracts and we are about to start and we have even tried to solve the financial problems. This is because we have the problem of having to hire consulting engineers.
READ: $2 billion Kano-Maradi rail would be completed in 36 months – FG
“The ones we are about to start include Ibadan to Kano, we are waiting for funds from China. We are about to start Port Harcourt to Maiduguri, we are waiting for the cabinet to approve consulting shares. We are also to start the Kano-Maradi and Lagos to Calabar.
“But one thing that is unique about these contracts is that the president early enough directed that all rail lines must stagnate at the seaports.
“That is why there may be a bit of adjustment in the pricing of Kano-Maradi because we have to adjust it to link up to Kano-Lagos so that it can terminate at Lagos seaport.’’
The Minister pointed out that the 185.5km Lagos-Ibadan double standard gauge line with extension to Apapa seaport was nearing completion, while the 186km Abuja-Kaduna and 302km Warri-Itakpe standard gauge lines had been completed and were functional.
READ: FG urges contractors to complete Ebute Meta–Apapa seaports railway extension by January 2021
What this means
- The various rail line projects are part of the ambitious plan by the Federal Government to create a nationwide rail network that is intended to help in the country’s diversification efforts, away from crude oil.
- Some of these rail projects will also help to decongest the Apapa ports in Lagos and serve as a route for the import and export of goods in the West African sub-region.
Business
Customs Tin-Can Island Command generates N112.7 billion in Q1 2021
This is a N21.1 billion increase in revenue compared to a revenue of N91.6 billion in Q1 2020.
The Nigerian Customs Service revealed that its Tin-Can Island Command has a first-quarter revenue of N112.7 billion in 2021. This is a N21.1 billion increase in revenue compared to a revenue of N91.6 billion in Q1 2020.
This was disclosed by Mr Mba Musa, Customs Area Controller, in a statement on Friday.
“The comparative analysis of quarter one revenue collection from 2018 to 2021 are as follows: in 2018, N76,789,721,107.42; in 2019, N78,857,106,168.27; and in 2020, N91,635,998,490.73,” the customs boss said.
READ: Customs revenue rises by N200 billion to hit N1.5 trillion in 2020
“This improvement is despite the twin threat to lives and livelihood posed by the COVID-19 pandemic. The command has inspired their officers to continue to work hard while observing all the safety measures to achieve the best of performance.
“We kept our lines of communication open and concerted effort was made to ensure that the supply chain is not disrupted,” he added.
READ MORE: Customs officers must declare their assets annually – Customs boss
What you should know: The Nigeria Customs Service (NCS) generated a revenue of N1.5 trillion for the year 2020, a rise compared to N1.3 trillion in 2019.
