The move by the MTN Group to offer 14 per cent of its 78.8 per cent sshares in MTN Nigeria to Nigerians will boost its stock market liquidity by N375bn, analysis of data has shown.
Also, speaking on CNBC AFRICA, CEO, MTN Nigeria, Karl Toriola, said, “In the short-medium term, MTN Group would like to sell about 14 per cent of its stake in MTN Nigeria, with the focus primarily on retail investors. “We are hoping to move forward with that in the short to medium term; we are very excited about the participation of Nigerians in the value creation in MTN and in the industry.”
“Now large chunks of their shares are held by other corporate investors, or institutional investors. If that be the case, they may not be the kind of investors that sell every now and then, but with share issues becoming more widespread, I mean among many investors, then it means more liquidity. “But if it is offer for sale, if it is existing shareholders that are selling, they are the ones that would benefit from the sales. It won’t add value to the company. We can’t ascertain what they want to do, until they do it.”