Telecoms giant, MTN Ghana, is working towards listing on the local bourse as part of the conditions under which it secured the 4G license in 2015.
CEO of MTN Ghana, Mr Ebenezer Asante, explains the move to sell part of the company’s shares to Ghanaians is part of the localization that came with the 4G license.
“It’s very clear from the license that 35% of MTN should be moved into Ghanaian hands and since we required the license we have engaged the regulators both in the NCA as well as the Central Bank and also with the Securities and Exchange Commission,” he said.
He said although there were still a few issues that needed to be resolved, he was hopeful they should be cleared soon to enable listing on the Ghana Stock Exchange.
MTN Ghana spent $67.5million to acquire the license for the next 15 years.
The telecoms company is hoping to raise about 500 million dollars in order to offload 35 percent of its business in Ghana to locals.
If the listing on the stock exchange is successful, MTN Ghana would be exempted from the capital market local content policy which enjoins companies operating in specific areas including telecom, mining, oil and gas to list a minimum percentage of their shares on the Ghana Stock Exchange within 5 years of commencement of operations in Ghana.
”When we receive approval from the NCA, we would be in the position to launch the 4G localization that came with the license. In terms of the exact timelines I’m not able to commit to because I am not a regulator and I should not be seen to be stampeding the regulator through this interaction so all that I can say is that three months for the receipt of the approval from the SEC we will be in the position to launch and it should be before the end of this year,” said the MTN CEO.
MTN’s revenue increased from 2.3 billion cedis in 2015 to 2.7 billion cedis in 2016.
During the period, the telecom operator increased its subscriber base by some 18.7% to 19.3 million.
Also, the telecom operator’s data revenue went up to 65.7%, contributing 42% to total revenue while digital revenue contributed 48% to data revenue.