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Tag: Stock Exchange

  • Stock Exchange, IFC move to strengthen Nigeria’s sustainable finance

    Stock Exchange, IFC move to strengthen Nigeria’s sustainable finance

    • New partnership targets $6.2tr special bond market

    The Nigerian Exchange (NGX) and International Finance Corporation (IFC) have renewed commitment to working together to expand issuance of labeled bonds in the Nigerian market in a move aimed at deepening access to sustainable finance.

    Labelled bonds, including green, social, blue, and sustainability-linked instruments, are increasingly used globally to channel private capital into climate-resilient infrastructure, clean energy, and inclusive development.

    While cumulative global issuance surpassed $6.2 trillion by end-2024, uptake in Nigeria remains limited, largely due to gaps in technical structuring, certification, and disclosure frameworks.

    Speaking at a technical capacity-building workshop co-hosted by NGX and IFC, Chief Executive Officer, Nigerian Exchange (NGX), Mr. Jude Chiemeka, said the partnership was aimed at advancing labelled bond issuance in Nigeria, supporting the real sector and accelerating the country’s sustainable finance objectives.

    He emphasised the critical role of sustainable finance in Nigeria’s growth strategy.

    READ ALSO: States seek $500m World Bank’s facility to tackle poverty

    “Unlocking sustainable capital is central to achieving Nigeria’s vision of a $1 trillion economy, shared prosperity, and long-term resilience,” Chiemeka said.

    He noted that the workshop built on NGX’s ongoing initiatives, including its sustainability disclosure guidelines, the impact board, and pioneering green bond listings.

    Principal Country Officer, International Finance Corporation (IFC), Christian Mulamula, highlighted IFC’s commitment to deepening market infrastructure and sustainability-linked investments across Africa.

    “We share an ambition for Nigeria to become a model for green and sustainable finance on the continent,” Mulamula said.

    Head, Trading and Products, Nigerian Exchange (NGX), Abimbola Babalola, said the workshop provided guidance on the issuance process and highlighted the advantages of listing bonds through NGX.

    “Bond listings on NGX offer issuers access to a diversified investor base and enhance market transparency, key for sustainable capital mobilisation,” Babalola said.

    According to him, as Nigeria pursues climate-resilient, inclusive growth, deepening the sustainable bond market is critical to unlocking the scale of capital required for its long-term ambitions.

    Special Adviser and Coordinator of Sovereign Green Bonds, Federal Ministry of Environment, Olaitan Fajuyitan, said Nigeria’s largest green bond, N50 billion sovereign green bond, was aimed at financing renewable energy, afforestation, clean transport, and sustainable agriculture.

    “This issuance underscores Nigeria’s commitment to scaling private finance in line with national development goals,” Fajuyitan said.

    Representing the Federal Ministry of Marine and Blue Economy, Husaini Shettima described the workshop as timely for advancing sustainable marine finance.

    “The next frontier is developing a robust blue bond framework that aligns with national priorities and global standards,” Shettima said.

    The workshop, themed “Unlocking Sustainable Capital for the Real Sector: A Deep Dive into the Labelled Bonds Issuance Process”, brought together issuers, market operators, institutional investors, regulators, and policymakers for practical discussions on opportunities and challenges within the sustainable bond ecosystem.

  • Stock Exchange tightens rules on shares buy back

    Stock Exchange tightens rules on shares buy back

    Special resolution from shareholders required •More regulatory hurdles

    The Nigerian capital market will today begin the enforcement of amended regulatory framework on shares buyback, which grants greater powers to the securities exchange and shareholders to control and manage shares buyback.

    Shares buyback allows companies with large outstanding shares and those that feel their shares have been unduly underpriced or under pressures due to the number in issued to buy back up to 15 per cent of their issued shares.

    Dangote Cement Plc had in 2023 completed first tranche of a share buyback programme that permitted the company to repurchase up to 10 per cent of its issued share capital.

    Airtel Africa Plc had earlier this year launched a share buyback programme under which the telecommunication company could reacquire not less than $100 million worth of shares over the next 12 months.

    The amended rules, however, empower Securities and Exchange Commission (SEC) to exercise discretionary power on the amount of shares that a company may buy back.

    Reduction of outstanding shares could lead to significant revaluation of a company as it tends to increase fundamental earnings and secondary market variables, especially when such shares were purchased at lower-than-fundamental values.

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    Companies with large retained earnings or reserves can deploy these to lock in values for shareholders, especially companies that had raised significant genuine capital at high prices during a bullish period and now find the shares at ridiculously low prices during a bearish period.

     Under the amended new rules, which come into effect today, a company or issuer may cancel repurchased shares or hold them as treasury shares in line with the provisions of the Companies and Allied Matters Act (CAMA).

    However, while the issuer’s treasury shares will remain listed on the Nigerian Exchange (NGX), such shares will not count as part of the Issuer’s free float.

    Also, all publications by an issuer that has treasury shares regarding dividends and general meetings must include a statement that the treasury shares are not entitled to dividend and have no voting rights.

    Treasury shares can only be resold or re-issued upon the approval of the NGX and in line with applicable rules.

    As against the previous requirement of ordinary resolution, the amended framework requires shares buyback to be “approved by the shareholders by a special resolution passed at a general meeting” while “the issuer shall obtain a “no objection” from the Exchange before embarking on a share buyback programme”

    The company is also expected to provide a statement of what it intends to do with the repurchased shares such as whether it will reissue the shares, keep the shares as treasury shares, or issue the shares for the purpose of an employees’ share scheme.

    No company shall purchase its own shares during its closed period

    The explanatory statement to be issued to shareholders must also be submitted to the Exchange for its approval prior to circulating it to the shareholders.

    As part of the new rules, a company that has bought back its own shares cannot issue the same kind of securities in any manner whether by way of public issue, rights issue or bonus issue until one full year has elapsed after the date of completion of buyback unless as may be approved by the Exchange.

    The company is also expected to notify the Exchange within 24 hours of completion of the buyback programme.

    According to the rules, where an issuer intends to cancel the repurchased shares, it shall cancel the repurchased shares and apply to the Exchange within 10 business days of the last date of completion of the shares buyback for delisting of the cancelled shares from the Daily Official list of the Exchange or at such other time as may be agreed by the Exchange.

    The company that cancelled its repurchased shares shall maintain a register of the securities which have been cancelled.

    The share buyback rule requires deep understanding and participation of shareholders. First, the board of the company intending a share buyback is expected to provide information on the proposed source of funds for making the proposed purchase and the funds shall be out of the profits of the company which would otherwise be available for dividend or the proceeds of a fresh issue made for the purpose of the purchase.

    The board of directors shall take a decision at a board meeting for the purchase of a range of shares over a period of not exceeding two years and shall fix a date for the company’s meeting for seeking the approval of shareholders.

    While the directors of the company would decide on the propriety or otherwise of share buyback, shareholders at a general meeting hold the overriding votes to approve or reject such decision in line with the extant laws that require approval of majority of shareholders on any issue that will lead to changes in share capital.

    The company must send to detailed information to all its shareholders which would enable them to make an informed decision on whether to vote for or against the ordinary resolution to approve the share buyback or not. So, knowing what the share buyback rule entails and the rights of shareholders therein empower shareholders to take informed decision in initiating discussion on buyback, approving it or disapproving it.

    Airtel Africa had premised its shares buyback on significant progress in recent years to reduce leverage and strengthen its balance sheet, thus the company believed it was in good position for the share buyback.

    “The board believes that repurchasing its own shares is an attractive use of its capital in light of the group’s strong long term growth outlook. The programme will be executed using its cash reserves and in accordance with applicable securities laws and regulation,” the company stated.

  • Stock Exchange delists three companies over poor standards

    Stock Exchange delists three companies over poor standards

    The Nigerian Exchange (NGX) has delisted three companies-Niger Insurance Plc, Resort Savings and Loans Plc and RAK Unity Petroleum, for failure to meet the required standards expected of publicly quoted companies.

    In a circular at the weekend, NGX stated that it delisted the companies “on the grounds that they are operating below the listing standards of Nigerian Exchange Limited (NGX) and their securities are no longer considered suitable for continued listing and trading in the market”.

    According to the NGX, the delisting was in furtherance of the provisions of Clause 15 of the General Undertaking, Appendix iii Of the Rule Book of The Exchange, 2015, Part II, Issuers’ Rules Delisting Process.

    The rule recognises “that Council reserves the right to remove the name of a company from the Official List of The Exchange at its absolute discretion and may, if it considers there is insufficient public interest in the company, viz, insufficient shares in the hands of the public; or any of the foregoing terms and conditions are not complied with; or the company becomes a subsidiary of any other company”.

    Nigeria’s apex insurance regulator, National Insurance Commission (NAICOM) had in 2020 placed Niger Insurance under regulatory watch.

    After extensive review and discussions at a top-level meeting between NAICOM and the board and management of NAICOM, the Commission had ordered that Niger Insurance shall not dispose any of its assets without written approval of the Commission.

    Also, Niger Insurance shall submit monthly report of its activities together with the monthly management account to NAICOM.

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    According to a regulatory filing by the company, the Commission also directed that the management of Niger Insurance shall invite NAICOM to attend all board meetings of the insurance company as an observer.

    RAK Unity Petroleum Company Plc was under liquidation process. The NGX had earlier suspended trading in the shares of Rak Unity Petroleum after the downstream oil company began the process for winding up of its operations.

    Shareholders of Rak Unity Petroleum had at their annual general meeting on June 4, 2021 authorised the board of the company to commence the process of voluntarily winding up of the company.

    RAK Unity Petroleum was incorporated as a private limited liability company in December 1982. It converted to a public limited liability company in November 1987.

  • Stock Exchange mulls full online public offers

    Stock Exchange mulls full online public offers

    • Investors to buy offers by clicks

    • NGX Group gets nod to raise N10b

    The Nigerian Exchange Group (NGX Group) Plc yesterday unfolded a digital transformation plan that will enable companies and governments raising funds through the capital market to issue such offers completely on a digital platform.

    Investors will be able to buy such offers at “the click of buttons” at their convenience in any part of the world.

    The proposed online platform was part of the highlights of the annual general meeting of the NGX Group yesterday in Lagos, where shareholders also agreed to inject additional N10 billion in the operations of the company, through a rights issue.

    Shareholders mandated the board to increase the company’s share capital to sufficiently accommodate the N10 billion rights issue.

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    Group Managing Director, Nigerian Exchange Group (NGX Group) Plc, Mr. Temi Popoola, said the group plans to propel the markets with additional digital transformation programme that includes an online platform for public offers and deep investments in its technology stack amongst others.

    According to him, the platform will provide a smarter and efficient way for companies and governments to raise capital as it will enhance the subscription process and operational workflow of public offers in the capital market including initial public offerings (IPOs), rights issues and other public offers.

    “The future of our business and the capital markets hinges on technology. That is why we are driving this digital transformation journey across our subsidiaries through the group. NGX Group’s digital transformation will democratise access to public issuances for every Nigerian with a mobile phone, supporting capital-raising efforts for companies. Additionally, we aim to commercialise our technology solutions and expand our footprint across Africa,” Popoola said.

    He noted that the 2023 business year underscored NGX Group’s strategic agility and operational excellence, thus the group witnessed growth stemming from its dynamic revenue streams.

    “We are optimistic and well-positioned to forge a future marked by success, resilience, and prosperity,” Popoola said.

    He commended the shareholders, customers, employees, regulators, and directors of the group for their steadfast support.

    Group Chairman, Nigerian Exchange Group (NGX Group) Plc, Alhaji Umaru Kwairanga said the group has been positioned to capitalise on emerging opportunities.

    According to him, as the board oversees the strategic direction and gives management the necessary support and guidance, the coming year will be a better one in terms of value created for the shareholders.

    “NGX Group is positioned to capitalize on opportunities amid the positive and forward-looking reforms by the government and our stakeholders should rest assured we will deliver excellently,” Kwairanga said.

    He commended the shareholders for their supports, especially by approving the N10 billion capital raising and other key resolutions that formed the critical business of the meeting.

    Shareholders at the meeting approved the appointment of Popoola as the Group Managing Director.

  • VFD Group mulls special stock exchange for entertainment, media industry

    VFD Group mulls special stock exchange for entertainment, media industry

    VFD Group Plc, a major investor in Nigerian Exchange Group (NGX Group) Plc, is working on a special exchange platform that will provide much-needed finance for the entertainment and media industry.

    Managing Director, Splitar Limited, Mr Folagbade Adeyemi, said there was the need for increased financing for the entertainment and media industry to boost foreign exchange earnings and economic development.

    Adeyemi was the guest speaker at the Capital Market Correspondents Association of Nigeria (CAMCAN) quarterly forum, sponsored by VFD Group Plc. Splitar is a member of VFD Group.

    Adeyemi said the special exchange platform would be tailored to the media and entertainment sector, offering diverse investment opportunities for both domestic and international investors.

    According to him, the special exchange, to be known as SplitXchange, is currently in development stage by the group and it would offer a platform for financing the media and entertainment industry, among other alternative assets.

    Read Also: Stock Exchange begins delisting process for GSK

    Adeyemi noted that seeing the huge potential in the alternative assets, Splitar Holdings through the Split Exchange, would drive the alternative assets space with its revolutionary digital exchange.

    With Nigeria’s estimated population at 208.8 million people, Adeyemi highlighted the increasing demand for Nigerian content.

    Speaking on the theme: “Beyond Tradition: Increasing Relevance of Alternative Assets in Capital Market,” Adeyemi lamented the absence of robust funding pillars in the country.

    He noted that funding for the Nigerian entertainment sector primarily originates from outside the country.

    According to him, the new market in alternative assets, include arts and commodities, real estate and entertainment and media (E&M).

    Speaking on the potential of Entertainment and Media, specifically, Adeyemi noted that globally there is an average market size of $41 billion as at 2021 with an estimated growth 4.2 per cent.

  • My priorities as Stock Exchange’s GMD, by Popoola

    My priorities as Stock Exchange’s GMD, by Popoola

    • Onyema retires on loud ovation
    • Chiemeka heads trading arm

    Wall Street-trained investment banker and chartered stockbroker, Mr Temi Popoola resumes today as the new Group Managing Director (GMD) of Nigerian Exchange Group (NGX Group) Plc with a commitment to prioritise key initiatives that will further uplift Nigeria’s main stock exchange.

    Popoola, immediate past Managing Director of Nigerian Exchange (NGX), was announced as the new Group Managing Director by the board of NGX Group at the weekend. Popoola’s appointment takes effect from January 1, 2024.

    Nigeria’s apex capital market regulator, Securities and Exchange Commission (SEC), had granted its “No-Objection” approval to the announcement of Popoola, a step most analysts expected to lead to  approval of the appointment.

    Popoola will act as GMD-designate till March 31, 2024, when the GMD Mr. Oscar Onyema, who embarks on his terminal leave with effect from today, will finish his tenure.

    Former Executive Director, Capital Markets, NGX, Mr. Jude Chiemeka has also been appointed as the Acting Chief Executive Officer of NGX, with effect from today.

    Popoola said his tenure would be that of continuing progress and new milestones. 

    “I am fully committed to building on the foundation laid out and taking NGX Group to greater heights,” Popoola said.

    He said he was assuming the role with a deep sense of responsibility and enthusiasm, noting the exceptional performance of Onyema.

    Read Also: Stock Exchange honours companies for innovation, best practices

    Chairman, Nigerian Exchange Group (NGX Group), Alhaji Umaru Kwairanga said the pivotal changes in the leadership of NGX Group were testaments to effective succession planning.

    He commended Onyema for his stellar leadership first as the chief executive of the Nigerian Stock Exchange (NSE) from 2011 to 2021 and, thereafter, as the GMD of NGX Group Plc from 2021 to 2024.

    According to him, Onyema led the stabilisation, growth, demutualisation and restructuring of the NSE to NGX Group Plc, a public company limited by shares, which is a significant milestone in the organisation’s history. Onyema also led the listing of the NGX Group on the main board of NGX.

    “I have no doubt in Mr. Popoola’s capability to successfully continue the legacy Mr. Onyema has created, and take NGX Group to greater heights. I also firmly believe in Mr. Chiemeka’s ability to seamlessly assume leadership at NGX from Mr. Popoola, building upon his impressive achievements and fostering continued growth in the capital market,” Kwairanga said.

    Onyema who expressed deep appreciation for the privilege to have led the NSE and NGX, said he was confident Popoola has the capabilities to continue the legacy and growth of NGX Group.

    “I am grateful for the support and dedication of the entire team at NGX Group and capital market stakeholders throughout my tenure. Together, we drove significant development in the African capital markets, and I am proud of the various accomplishments we have achieved since 2011.

    “As I step into a new phase, I am committed to ensuring a smooth transition and look forward to witnessing the continued growth and prosperity of NGX Group under Mr. Popoola’s leadership. The future is indeed promising,” Onyema said.

    Popoola is a successful C-suite leader whose unique blend of business acumen, financial expertise, global market growth and operational insight has earned him a reputation built on verifiable career achievements. He began his career in London as a portfolio manager focused on African energy markets and worked for several years as a senior equity derivatives trader with Bank of America Securities in New York, where he drove firm profitability by providing derivative solutions to US corporations and family offices.

    Popoola joined NGX in 2021 as CEO from Renaissance Capital (Rencap) where he was the Managing Director and CEO for West Africa. At NGX, he oversaw and supported its continuous growth, profitability, and success by providing strategic market insight and leadership.

    Popoola graduated with a first-class degree in Chemical Engineering from University of Lagos and holds a Masters’ degree from Massachusetts Institute of Technology (MIT). He is a Chartered Financial Analyst (CFA) and a Chartered Stockbroker (CIS).

    Chiemeka was a member of NGX Executive Committee chaired by Popoola. He has over 29 years’ experience in securities trading and asset management across markets in Africa. Prior to joining NGX, he was the Managing Director of United Capital Securities, a subsidiary of United Capital Plc listed on NGX.

    He is a Fellow and Council Member of the Chartered Institute of Stockbrokers (FCS), a Member of the Institute of Directors (IOD), a Fellow of the Association of Investment Advisers and Portfolio Managers and an Associate of the Certified Pension Institute of Nigeria. He is also an alumnus of the University of Lagos, Lagos Business School and the University of Oxford, UK.

  • Stock Exchange bans webmails over cyber threat

    Authorities at the Nigerian Stock Exchange (NSE) have banned the use of web-based email accounts as official communication channels by capital market operators as part of measures to mitigate risk of cyber attack.

    In a circular obtained by The Nation at the weekend, the NSE stated that it is taking steps to permanently restrict all web-based emails from its domain. It sets a deadline of September 30, 2019 for all dealing member firms to comply with the requirements of its Minimium Operating Standards (MOS), which prescribes that all dealing member firms should have e-mail accounts registered on private domains.

    The Exchange warned that it would no longer accept communication through webmails beyond the deadline.

    According to the Exchange, cyberattacks and threats have increased in frequency and size in recent times, often leading to data breaches, business disruptions and reputational damage for business organisations.

    The exchange noted that one of the primary channels used by cybercriminals and hackers to infiltrate and compromise the information technology (IT) systems of targeted organisations is electronic messages.  Most cyberattacks involve the use of web based e-mail accounts to send malicious software or viruses, known as phishing, capable of compromising data and infrastructure of organisations with the attendant negative impact on confidentiality, integrity and availability of data.

    The NSE stated that it was concerned that many dealing member firms still use web based e-mail accounts such as Yahoo mail, Gmail and Hotmail among others as their official communication channels contrary to the requirements of the MOS.

    “Considering the threats and risks of cyberattack that can be launched through webmails as highlighted above, it has become imperative to implement preventive measures to mitigate such risks. Consequently, all dealing member firms that currently use webmail for their official communication are hereby required to acquire a private domain and create corporate e-mails within two months from the date of this circular and notify the Exchange accordingly,” NSE stated.

    The Exchange warned that all stockbroking firms must comply with the directive as a mandatory requirement.

    Total transactions at the NSE stood at N1.088 trillion in first half 2019. Domestic investors recoded total turnover of N329.69 billion as against N285.04 billion recorded by institutional investors in first half 2019. Domestic investors led the activities table for the first half of 2019 with 54.16 per cent of total transactions compared with the situation in first half 2018 when foreign investors dominated with 50.07 per cent. Domestic investors accounted for total transactions of N614.73 billion in first half 2019 as against N472.78 billion recorded by foreign investors.

  • Stock Exchange gets award

    The Nigerian Stock Exchange (NSE) has received a “Rotary Outstanding Invaluable Company Award” from Rotary International District 9110, Nigeria, one of the 535 Districts that make up Rotary International worldwide.

    Rotary International District 9110, Nigeria comprises more than 100 Rotary clubs with over 3000 professional men and women as members.

    The award was presented to the NSE at  the Rotary Friendship Night/Governor’s Magazine Launch/Awards, which hosted the Consular- General of Germany in Nigeria, Dr Stefan Traumann, as the guest speaker.

    In a notification letter signed by District Governor, Mr. Kola Sodipo, Rotary said the award was bestowed on NSE based on its “impactful corporate social responsibility projects in the areas of education, health, economic and youth empowerment, and environment, amongst others”, which Rotary considers invaluable in the service to humanity.

    Rotary indicated that NSE was found worthy of the award following the outcome of a committee of evaluators set up by Rotary District 9110, to look into corporate social responsibility projects and programmes of companies and their impacts  that are in sync with Rotary ideals of service, especially in Rotary’s six areas of focus. Rotary’s six areas of focus include peace and conflict prevention and resolution, disease prevention and treatment, water and sanitation, maternal and child health, basic education and literacy, and economic and community development.

    Head, Corporate Communications, NSE Mr. Olumide Orojimi lauded Rotary for the recognition. He reiterated the Exchange’s commitment to strengthening its engagements and deepening its impact through social interventions across Nigeria.

    According to him, NSE is changing the education outcomes of children in the North-East through the donation of Maisandari Alamderi Model Nursery and Primary School in Borno State.

    “Through our community interventions in health, education and financial literacy across the country, we will continue to play our part towards realising the Sustainable Development Goals, thereby increasing the chances of achieving a better and more sustainable future for all,” Orojimi said.

    He solicited support for the forthcoming edition of the NSE Corporate Challenge, a yearly, highly competitive and fun-filled five-kilometre walk, run and jog competition designed to raise awareness and funds to support cancer causes.

     

    past editions,” Orojimi said.

     

  • Stock Exchange tightens free float to boost price discovery

    Companies quoted on the Nigerian Stock Exchange (NSE) shall now be required to indicate their shareholding structure and an indication of compliance level with the minimum number of shares or capitalisation being held by minority retail shareholders in their half-year reports.

    Companies were previously required to indicate shareholding structure in full-year report and were not under obligation to categorically indicate compliance with free float. Free float, otherwise known as public float, refers to the number of shares of a quoted company held by ordinary shareholders other than those directly or indirectly held by its parent, subsidiary or associate companies or any subsidiaries or associates of its parent company; its directors who are holding office as directors of the entity and their close family members and any single individual or institutional shareholder holding a statutorily significant stake, which is 5.0 per cent and above in Nigeria.

    An amendment to the existing free float rules, obtained at the weekend by The Nation, that companies shall also be required to undertake periodic self-assessment of their free float compliance and report any breach or shortfall to the Exchange. The new rules place the onus of investigation and compliance on the companies, in addition to existing surveillance by the capital market authorities.

    According to the amendment, every company shall independently review its free float every half-year or other reasonable time, and when there is a breach of its free float requirement, disclose this to the Exchange and immediately initiate the steps to remedy the default and comply with its free float requirement.

    The amendment, which was approved by Nigeria’s apex capital market regulator, Securities and Exchange Commission (SEC), last week, mandates the Exchange to commence the process of delisting any company that fails to respond to specific notice on free float default within 10 business days of receiving the notification or any company that fails to produce and submit an acceptable compliance plan to the Exchange within three months of being notified of falling short of free float under the Exchange’s periodic “X-Compliance Report”.

    The NSE is also expected to commence delisting process if the company’s compliance plan is not acceptable to the Exchange, and the company fails to produce and submit an acceptable alternative plan within 21 business days of the Exchange’s rejection of the initial plan. The NSE can also trigger the delisting process if the defaulting company is unable to return to a state of full compliance within such period as indicated in the company’s compliance plan approved by the Exchange.

    The amendment, in addition to existing percentage free float requirement, also provides the minimum number of minority retail shareholders and minimum capitalisation that can serve as alternative free float to percentage of shares.

  • MTN ready for listing on Stock Exchange

    Telecoms giant MTN Nigeria Communications yesterday took a huge step towards its listing on the Nigeria Stock Exchange (NSE), with its conversion from a private to a public company.

    In a statement, it said it had completed its conversion, describing the exercise as a legal requirement and key milestone preparatory to its listing by introduction on the Exchange’s floor.

    The listing will create a new telecoms asset class for investors and provide more Nigerians opportunity to participate in MTN’s business.

    The listing is one of the final settlement conditions for the huge fine imposed on MTN by the Nigerian Communications Commission (NCC) for subscribers’ identity module (SIM) registration infraction.

    Its Chief Executive Officer (CEO), Ferdi Moolman, said: “Our conversion to a Plc is a major step towards listing by introduction on the Nigerian Stock Exchange in the first half of 2019.

    “It is a reaffirmation of our long-term commitment to expanding investment opportunities for Nigerians, in addition to providing everyday services to them. We look forward to continuing our engagement with the Securities and Exchange Commission (SEC)  and NSE to take forward the listing process.”

    Read also: MTN tackles fake news, hate speech in journalists training

    Last month, the telco unveiled its earnings for the 2018 financial year, recording growth above inflation in full service revenue (17.2 per cent) and the addition of nearly six million new subscribers to the network.

    The company announced earnings before interest, taxes, depreciation and amortisation (EBITDA) of N453.1 billion and expanded EBITDA margins to 43.6per cent (excluding the Central Bank of Nigeria (CBN) resolution amount).

    It added 4.5 million active data customers during the year, delivering data revenue growth of 39.3per cent and expanding to 18.7 million the number of people that it connects to the possibilities that the internet provides.

    Moolman said: “Nigeria is one of the largest markets within the MTN portfolio and central to its growth strategy.”

    “The upcoming listing is a key milestone for the MTN group and is part of its commitment to localisation in the markets in which it operates.”