MTN Uganda is taking a significant step in its growth journey by listing on the Uganda Securities Exchange. The company is offering an Initial Public Offering (IPO) with 20% of its total 96% shareholding available to the public. This move comes 23 years after MTN Uganda first launched its operations in the country, with over 15 million subscribers.
The IPO details were discussed by Eric Jackson and Wim Vanhelleputte in a recent video. The duo broke down the incentives, opportunities, risk factors, and onboarding process for investors.
MTN Uganda IPO Highlights ¶
- MTN Uganda is offering 4.47 billion ordinary shares at UGX 200 per offer share, representing 20% of its total 96% shareholding.
- The offer opened on 11 October 2021 and closes on 22 November 2021, with trading set to start on 6 December 2021.
- Prospective East Africa investors will receive a 5% free share incentive, while Ugandan investors who participate in the IPO via the m-IPO platform will receive an additional 5%.
- MTN Uganda has committed to maintaining a 60% dividend payout ratio post-listing.
- The company plans to address low internet penetration through demand-driven 4G deployment, device financing, and leveraging on-demand for localized digital content.
- MTN Uganda sees the m-IPO process as key to addressing liquidity concerns on the USE through creating trading opportunities in the secondary market.
This episode features Eric Jackson, Co-founder and CTO of Hisa, and Wim Vanhelleputte, CEO of MTN Uganda. The podcast was produced by Mwakaneno Gakweli.
