Nigeria’s apex capital market regulator, Securities and Exchange Commission (SEC) has confirmed that telecommunication giant, MTN Nigeria, has not filed the initial application draft that will kick-start the regulatory process for the telco’s initial public offering (IPO).
This implies that the launching of the IPO and listing of the telco on the Nigerian Stock Exchange (NSE) may be delayed from the initial timeline of 2017 set out by the company.
There has been a frenzy in recent time as speculations made the round that Nigeria’s largest telco was about to launch its much-hyped IPO.
Director General, Securities and Exchange Commission (SEC), Mr. Mounir Gwarzo, said the Commission was still waiting for MTN to file the first draft, which will form the basis of formal consideration of the company’s IPO.
While noting that MTN is coming out with a unique share offering structure, Gwarzo assured that the Nigerian capital market has the depth to take the size of the offer.
MTN Nigeria had earlier appointed the advisory team and set out a roadmap towards listing on the NSE in 2017.
The board of MTN Nigeria had announced the appointment of Stanbic IBTC Capital Limited and its affiliates, Standard Bank of South Africa Limited and Standard Advisory London Limited and Citigroup Global Markets Limited as the joint transaction advisors and joint global coordinators for the proposed listing of MTN Nigeria on the NSE.
Stanbic IBTC will serve as the lead issuing house in a team that would also include Nigerian receiving agents, banks and other advisers, which will be appointed in due course, as appropriate.
“MTN Nigeria is pleased to announce that its board of directors has resolved to proceed with preparations for a listing of MTN Nigeria on The NSE as soon as commercially and legally possible and has established a management task team with the responsibility to guide the company towards a listing. At present, MTN Nigeria is targeting that the listing takes place during 2017, subject to suitable market conditions,” the company stated.
It should be recalled that as part of the conditions to settle its $3.4 billion fine by the Nigerian Communications Commission (NCC), MTN Nigeria had announced its intention to list its shares on the NSE as soon as commercially and legally possible.
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