MTN to sell 20% of shares to Ugandans

 By Moses Ndhaye

MTN, which is one of the largest telecom companies in Uganda, has announced plans to list 20% of its shares to Uganda’s security exchange.

Making the announcement this morning, MTN Uganda Chairman Charles Mbire said the intention to proceed with an initial public offer (IPO) has already been approved by the Capital Markets Authority.

Mbire says their listing makes them the first telecom company to comply with the licensing regime which requires operators to make public at least 20% of their shares.

According to Mbire, the listing is part of their localization plan and has rallied local investors to buy some of the shares to support the economic development of the country.

Meanwhile, Mtn vice president for the southern and Eastern Africa Yolanda Cuba has thanked Uganda for welcoming the telecom giant 23 years ago and pledges to invest more than shs 1 trillion over the next three years to expand coverage and access in Uganda.

The listing by MTN Uganda is expected to earn the Capital Markets Authority a non-tax revenue of about Shs1.1b.

Written by Noelyn Nassuuna