MTN Group plans to list its Rwandan subsidiary, MTN Rwanda, on the Rwanda Stock Exchange (RSE) this May. This is after the approval by the Capital Market Authority and the RSE the listing by introduction on the stock exchange. Additionally, Crystal Telecom shareholders agreed to distribute 20% of the telco’s shareholding effective from the listing date.
The listing of MTN Rwanda will see 1.35 billion ordinary shares on the market. This is with each share registered with the RSE at an initial listing price of Rwf269 per share. Crystal Telecom shareholders will then become direct shareholders in MTN Rwanda. Plus, they should be able to trade their MTN Rwanda shares on the RSE.
MTN Rwanda is the market leader in mobile telecoms in the East African nation.
Yet to list on Uganda Stock Exchange
MTN Uganda successfully negotiated for the renewal of its operator license in June 2020. One of the key issues at hand was for the company to list at least 20 percent of its shares on the Uganda Securities Exchange. However, this is yet to happen.
Details from a trusted source revealed to us then that the company might indeed list on USE though not entirely. It is alleged that MTN Mobile Money is going to be set aside as a separate company, an entity independent of the telco.
Bloomberg recently reported that MTN Group values its mobile money arm at over $5 million. Apparently, no decision has been made as yet to list the entity. However, it will be an option considered if that will be the best approach to unlock value.