MTN Group has announced that its wholly owned subsidiary, MTN International (Mauritius) Limited, will sell a portion of its stake in MTN Uganda, aligning with Uganda’s regulatory licence terms and MTN’s objective to increase local shareholding in its Ugandan operations.
This move by MTN is expected to enhance local participation in the company’s growth and further solidify its commitment to the Ugandan market.
In a notice to shareholders on the Johannesburg Stock Exchange, MTN stated, “The offer, although open to investors more broadly, will provide an opportunity for Ugandan retail and professional investors to own a stake in MTN Uganda and participate in its future growth.” This initiative allows Ugandan retail and professional investors, as well as MTN Uganda customers, to own shares in the company.
The offer specifies that the minimum number of shares to be applied for is 1,400, with no maximum limit. Applications exceeding the minimum must be in multiples of 420 shares. Eligible investors can purchase shares online through the USE Easy Portal or in person with licensed stockbrokers and trading members. However, the shares cannot be sold to investors in countries where the transfer would be illegal or unenforceable, nor to investors in sanctioned countries.
The offer will be valid from 27th May to 10th June, 2024. MTN noted that, in accordance with Rule 32(7) of the Uganda Stock Exchange Listing Rules, the USE issued a waiver for the firm to list on the exchange based on the 12.97 percent public float achieved in the first public offering.
Additionally, MTN stated that the offer complies with the company’s national telecoms operator license, the National Broadband Policy 2018, and the Uganda Communications Commission’s regulations. This offer provides an opportunity for Ugandan retail and professional investors, including MTN Uganda’s customers, to own a stake in the company and contribute to, and benefit from, its future growth.
Both individual investors and professional investors from Uganda, East Africa, and internationally are eligible to purchase the available shares.