By Umar Muhammad Puma
Telecoms giant MTN’s willingness to transform from a private company to a publicly traded company will enhance both domestic and international investors’ confidence in the Nigerian Stock Market.
According to BMO in a statement signed by its Chairman Niyi Akinsiju and Secretary Cassidy Madueke, the decision by MTN to free up to 35% of its share holdings to Nigerian investors through listing on the Nigerian Stock Exchange is a welcome and worthy decision by the international telecommunications giant. “This will not only empower domestic investors but will enhance the robustness of the Nigerian Stock Exchange, create new telecoms asset class and catalyze a telecom index for direct participation by investors in Nigeria.”
The Pro-Buhari group noted that Nigeria is undoubtedly the largest telecommunications market in Africa and has continuously rewarded MTN with high returns than in any of its operational jurisdictions across the globe. Despite some regulatory sanctions, MTN in 2018, recorded a 17.2% growth, it is just commendable that MTN has decided to share prosperity with Nigerians.
“By its recent transformation of its corporate nomenclature to MTN PLC, preparatory to being listed on the Nigerian Stock Exchange, MTN has not only shown commitment to the localization of the markets it operates in, but it has also reaffirmed its long term dedication to expanding investment opportunities to Nigerians. This will also serve as a strong impetus to international investors to direct investments to the country, as a result of the compelling optics of reliability and trade-worthiness so generated thereby,” the group added.