MTN urges Nigerian securities regulator to list source shares in local units

ABUJA (Reuters) – South African telecommunications firm MTN has asked Nigeria's securities regulator to list its shares on the country's stock exchange in its local unit, two people with knowledge said on Friday. direct from this case.

Nigeria is the largest market for Africa's largest telecommunications company, with 52.3 million users in 2017, accounting for one-third of the company's annual core earnings. However, this has proved problematic in recent years.

In 2016, the company announced that it would register its local unit on the Nigerian Stock Exchange after agreeing to pay a reduced fine of $ 1.7 billion as part of a settlement with the Nigerian government regarding non-SIM cards. recorded. He announced his intention to be listed on the Nigerian stock exchange in the first half of 2019.

"What they have asked for is listing, that is, conversion to a publicly traded company where, for the time being, private shareholders can sell their shares on the stock exchange." said an official of the Nigerian Securities and Exchanges Commission, speaking on condition of anonymity.

Another person with first-hand knowledge of the matter also stated that MTN had asked the stock exchange for permission to quote from him.

Last week, MTN said it converted its Nigerian unit into a public company before listing. He stated that conversion was a legal requirement to prepare for registration. [nL5N2263IM]

The company hopes to be able to register the unit without immediately raising money from investors and has said it will simplify its capital structure before listing.