By Olabisi Olaleye and Chinwendu Obienyi
Following the peaceful resolution of the N1.4 trillion fine saga with the Nigeria Communications Commission (NCC), MTN Nigeria appears to be making true its pledge to list its shares on the Nigerian Stock Exchange (NSE) in 2017.
MTN Group, in a statement yesterday, said its management has set up a task team that would advise it about the listing.
“MTN Nigeria is targeting that the listing takes place during 2017, subject to suitable market conditions, the firm stated. It has therefore appointed Stanbic IBTC Capital Limited (together with its affiliates, The Standard Bank of South Africa Limited and Standard Advisory London Limited, collectively ‘Stanbic’) and Citigroup Global Markets Limited (Citi) as its Joint Transaction Advisors and Joint Global Coordinators, with Stanbic acting as Lead Issuing House.
“A full syndicate including Nigerian receiving agents, Nigerian receiving banks and other advisers would be appointed in due course, as appropriate,” it said.
The proposed listing, the MTN Group explained, would, however, be “subject to suitable market circumstances and conditions and the appropriate approvals from relevant regulators and other stakeholders.”
The inauguration of the management task team, it pointed out, did not constitute an announcement of an intention to float MTN Nigeria, saying further announcements would be made on this issue at appropriate intervals on progress.
At the end of negotiations last month over the crisis that trailed the fine saga, both NCC and MTN Nigeria had agreed that the company would pay only N330 billion out of the N780 billion it was earlier reduced to, from the initial N1.4 trillion.
The NCC had imposed the fine after MTN failed to disconnect 5.1 million registered telephone lines within the prescribed deadline.
In line with the terms of the resolution, the balance of N280 billion would be paid by MTN in six tranches between now and May 31, 2019, including payment of N30 billion immediately within 30 days from June 10, 2016 when the agreement was signed.
Other tranches of payment, in line with the payment plan, include another N30 billion by March 31, 2017; March 31, 2018 (N55 billion), December 31, 2018 (N55 billion), March 31, 2019 (N55 billion) and the balance of N55 billion on May 31, 2019.