MTNN Nigeria Communications (MTNN) Plc announced that its first public offer for sale of 575 million shares was oversubscribed by 139.47 per cent.
According to a statement posted on the Nigerian Exchange (NGX) website and signed by MTNN Company Secretary, Uto Ukpanah, the offer was oversubscribed by 139.47 per cent, activating the allocation of an additional 86.25 million shares.
MTNN disclosed 661.25 million shares had been allocated, with 126,720 retail investors submitting valid applications.
In addition, 114,938 new accounts representing new participants were created in the Central Securities Clearing System.
Approximately 76 per cent of those selected via the digital platform were women, and 85 per cent were under the age of 40.
Additionally, MTN Group’s shareholding in MTNN decreased by 3.25 per cent following the successful completion of the offer, from 78.83 per cent to 75.58 per cent.
Commenting on the offer, MTN Group Chief Executive Officer, Ralph Mupita, said: “We are pleased that this offer has given so many Nigerians the opportunity to become owners of MTNN with over 6.6 million Nigerians directly or indirectly becoming shareholders in MTNN.
“The objective of broadening the shareholders base and creating shared value has been achieved. We are proud that our offer was the first Nigerian public offer to use the digital application platform, the primary offer, which enabled wider investor participation across Nigeria.
“We thank the Nigerian authorities for their support of this offer. We remain committed to playing our humble role in driving digital and financial inclusion in Nigeria over the medium,” Mupita said.
Also, Karl Toriola, Chief Executive Officer, MTNN said: “We are delighted to welcome so many new shareholders to the MTN family, up 11.6 times from the number before the offer.
“It has been inspiring to see so many Nigerians, many of whom are young, acquire shares for the first time and use a digital platform to do so.
“This is the beginning of a journey to broaden our shareholding and there will be more opportunities to participate.
“We are pleased with the level of digital innovation we championed with this offer with the active collaboration of our lead issuing house and the various regulatory bodies.
“Deepening retail participation in Nigeria’s capital markets is a process and we are off to a great start, demonstrating the role digital platforms can play in expanding access.”
Bolaji Balogun, the Chief Executive Officer, Chapel Hill Denham, the local issuing house said: “Chapel Hill Denham is honoured to have worked with MTN to complete Nigeria’s first digital and predominantly green offering.
“I wish to thank the Securities and Exchange Commission (SEC), NGX, CSCS all the professional firms and other stakeholders, for delivering a big win for Nigeria’s capital markets in enabling the adoption of primary offer and this transaction marks a new and exciting future.
“Over 90 per cent of subscribers to the offer were first time participants in the capital markets and MTNN’s instrument case made this possible,” Balogun said.
NGX’s Chief Executive Officer, Temi Popoola, said: “NGX is proud to have worked with MTNN, Chapel Hill Denham and other parties to the transaction in advancing Nigeria’s capital market through the adoption of forward-looking technology.”
The CSCS Chief Executive Officer, Alhaji Haruna Jalo-Waziri, said: “we are excited to be part of the innovation brought by the offer, which afforded the successful launch of primary offer digital application platform.
“This further buttresses the necessity for digital transformation, allowing market access for all categories of investors, including institutional and retail investors within and outside of the country.”
