Ghana’s leading telecommunication company MTN is now set to launch its Initial Public Offering (IPO) on May 29, 2018.
According to an invitation for the event sent to the press and copied to JOYBUSINESS, MTN said the planned listing is part of requirement for securing the 4G LTE license, which requires MTN to sell 35% of its shares to Ghanaians by June 2018.
MTN in the invitation noted that it is working with the Securities and Exchange Commission (SEC), Ghana Stock Exchange (GSE) and the Ghana Investment Promotion Council (GIPC) towards the launch of its 35% IPO.
Targeted Amount and listing Date
Even though MTN is yet to declare the amount it’s looking at raising, sources say, it’s likely to raise about 3 billion cedis during the Initial Public Offering.
If successful, MTN could go ahead and list on the Ghana Stock Exchange by June ending.
JOYBUSINESS is learning that there has been some arrangement that would make the offer successful, even if it’s able to raise about 3% of the targeted amount.
Even before, the IPO takes off, some industry experts say the offer could the biggest that the country has ever witnessed.
However, there are concerns whether Ghanaians would really or can take up everything in terms of the shares being offered.
Therefore, the plan to let Ghanaians take up 35 percent of the business might face some challenges. But officials close to MTN have maintained that they are committed to ensuring that everything is taken up by Ghanaians.