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MTN plans to raise $555 million to expand its Nigerian unit

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MTN has also started the process of listing its shares on the Nigerian Stock Exchange.

Wednesday 15, May 2019

(Bloomberg) --MTN Group’s Nigerian unit plans to raise about NGN 200 billion ($555 million) this year from a variety of sources including bank loans and bonds to expand operations in its biggest market.

Adekunle Awobodu, MTN Nigeria’s Chief Financial Officer, said that the funds will enable Africa’s largest wireless carrier to finance capital expenditure to increase the reach and efficiency of its network in Nigeria.

The company had announced plans to raise as much as NGN 400 billion last year and later signed to a NGN 200 billion credit line with a consortium of banks.

MTN is currently arranging for another NGN 200 billion, said Awobodu.

It registered 20.4 billion ordinary shares with the country’s Securities and Exchange Commission last week, with about 20 per cent expected to be listed on the Lagos bourse this week.

According to the Nigerian Communications Commission, MTN has 65.6 million subscribers in Nigeria or 38 per cent of the market.

 

TAGS : MTN Group, Securities and Exchange Commission

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