MTN Uganda has successfully completed its first public offering, achieving the minimum 20% public float required by regulatory standards. This milestone underscores MTN’s commitment to local participation and compliance with Uganda’s Securities Exchange listing rules and Communications Commission regulations.
MTN International (Mauritius) Limited, a subsidiary of MTN, initiated the public offering as part of its strategy to divest a portion of its stake in MTN Uganda. The offering, conducted from May 27 to June 10, 2024, garnered significant interest, oversubscribed by 2.3 times, highlighting strong investor confidence in MTN Uganda’s growth prospects and commitment to local investment.
In a statement to shareholders, MTN Uganda announced the successful allocation of sale shares to all eligible applicants, including incentive shares as per the offer terms. This allocation ensures that the newly issued shares meet regulatory requirements and contribute to broadening local ownership in the company.
“This achievement not only fulfills regulatory obligations but also aligns with MTN Uganda’s strategic objective of increasing local shareholding,” stated MTN Uganda. The telco emphasized its dedication to enhancing transparency and accountability in shareholder transactions, ensuring that all successful applicants receive their allotted shares promptly.
MTN Uganda further assured applicants who were not fully allocated or unsuccessful in their applications that their funds would be refunded by June 27, 2024. This commitment underscores MTN’s adherence to fairness and regulatory compliance throughout the offering process.
The completion of this public offering marks a significant step in MTN Uganda’s journey towards broader market participation and local ownership, contributing to the development and stability of Uganda’s capital markets. It sets a precedent for transparency and investor confidence in the telecom sector, paving the way for future growth and expansion opportunities.
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