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Only 1.5 billion MTN Ghana shares bought in IPO

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MTN Ghana has offered 1,530,474,360 shares to Ghanaians and a number of foreigners in its ‘Initial Public Offer’ (IPO) which started on May 29, this year and ended on July 31, even though the company targeted 4.5 billion shares.

The Offer, which was initiated to give the general public especially Ghanaians the privilege to own shares of the Network, constituted up to GH¢4,637,394,533 of ordinary MTN shares valued at GH¢3,478,045,900 at an offer price of GH¢0.75 per share representing up to 35 per cent of the issued shares of MTN Ghana after the offer to qualify applicants.

The results of the IPO were announced at a Media and Stakeholder forum in Accra on Thursday.

Delivering the results on the offer, Mr Selorm Adadevoh, Chief Executive Officer of MTN Ghana said 1,367,386,080 were obtained by institutional applicants while 163,088,280 were obtained by retailers.

He explained that an amount of GH¢1,025,539,560.00 was accrued from the institutional applicants constituting 89.44 per cent while GH¢121,049,904.75 constituting 10.56 per cent was accrued from the retailers that participated in the offer.

Mr Adadevoh mentioned that 128,152 applicants participated in the offer with 127,653 being retailers and 499 being institutional.

The CEO announced that 108,434 applicants subscribed through the MTN mobile money portal representing 84.6 per cent of the number of applicants.

He said: “MTN Ghana, is satisfied that, of the 128,152 applicants, 127,826 were Ghanaians and of the GH¢1,146,589,464.75 raised under the offer, GH¢443,631,446.25 representing 38.69 per cent was raised from Ghanaians”.

Categorising the applicants, Mr Adadevoh noted that 127,826 Ghanaians applied for 593,040,280 shares which was 38.69 per cent with an amount of GH¢443,631,446.25.

He said 326 non-Ghanaians also applied for 937,434,080 shares with an amount of GH¢702,958,018.50 constituting 61.31 per cent of the total amount raised from the offer.

The CEO announced that all successful applicants will be allotted all the shares they applied for adding that applicants with Central Securities Depository (CSD) accounts would have their CSD accounts credited with their allotment at the hours of 17:00 on September 4, 2018.

He stressed that IC Securities will create CSD accounts for successful applicants who did not provide details of their CSD accounts as part of their application for their respective allotments.

Mr Adadevoh said a number of applicants who applied for shares have received notifications to update their identification documentation (IDs) and advised applicants who have received such notifications to visit any MTN Ghana Service Centre with updated IDs in order to be able to trade their shares from the first day of trading.

He said: “Per the offer prospectus, an appropriate ID is a valid national passport, a driver’s license, a national ID, a national health insurance ID, or a Voter’s ID.

“Until applicants have updated their information and ID cards, their shares will be transferred from the nominee account to their account”.

The CEO also said the first day of trading the MTN Ghana shares is expected to be on September 5, 2018, therefore shareholders would be able to monitor and trade their MTN Ghana shares by contacting a licensed dealing member of the Ghana Stock Exchange.

Source: GNA

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