Accra, Ghana, September 5, 2018//-After its successful initial public offering (IPO), MTN Ghana today began trading on the Ghana Stock Exchange (GSE), boosting the liquidity of the market.
Its trading code on the GSE is MTNGH.
The telecom giant recently raised an amount of GHC 1.14 billion from the local bourse the through IPO.
The amount represents 3.3 times the minimum amount required for success.
In total, there were 128,152 applicants for shares of which 127,826 were Ghanaians and contributed GHC 443,631,446.25. With this, MTN Ghana has the largest number of Ghanaian shareholders of all the companies listed on the GSE.
Speaking at the listing ceremony of the MTN Ghana Ltd at the trading floor of the GSE in Accra, the Deputy Managing Director of the GSE, Ekow Afedzie said the MTN Ghana listing on the GSE is significant and historic for a number of reasons.
He added: “This is the largest IPO amount raised on the Exchange in its 28 years history-over GHC1 billion raised”.
It is also the largest number of shares on offer for an IPO on the GSE-1,530,474,360 ordinary shares, according to him.
“The first time mobile application had been used in purchasing of shares during an IPO. It is also the first in Africa and the Ghana Stock Exchange is very proud of this feat”, Mr Afedzie noted.
This he explained enabled Ghanaians everywhere and from all walks of life to participate in the offer.
Mr Afedzie was quick to add: “It is the first telecommunications company to list on Ghana Stock Exchange. This brings along the highest number of shareholders as per any listed company on GSE (128,152 shareholders)”.
Impact of MTN listing on GSE
According to him, the listing of MTN Ghana would positively impact the GSE by significantly increasing the Exchange’s market capitalization by over GHC9.22 billion from GHC55.97 billion to GHC65.19 billion, representing 16.4%.
The telecom company’s listing also increased the number of listed companies to 40. Ghana, he said would be counted among the list of African countries that MTN was listed on their markets.
The MTN listing would also improve the liquidity of the market, Mr Afedzie stated.
“For us at the Exchange, we are delighted again to see such companies raise capital and list because investment in viable business like MTN lead to wealth creation for Ghanaians as well as more job opportunities for our youth; contribute greater taxes and more social projects to Ghanaian communities; and share their fortunes and risks with their shareholders including Ghanaians”.
Advice
Mr Afedzie said: “We wish MTN well and expect them to be extremely forthcoming with disclosure on any issue that is price sensitive. This will boost investor confidence and impact on the share price for the shareholder and you must stick to dividend policy”.
The Board Chairman of MTN Ghana, Ismael Yamson assured the managers of the GSE and other regulators: “As a responsible company, we will do nothing to undermine the monetary environment of Ghana”.
He also assured the new shareholders of the company that their investments are in safe hands.
The future of MTN
The Chief Executive Officer of MTN Ghana, Selorm Adadevoh stressed that the company wlould continue to work hard to implement our strategy of Brightening lives by providing, Best customer experience and technology excellence for its about 18 million customers.
He added that “we will continue to grow data and digital services whilst touching the hearts and minds of Ghanaians especially our shareholders and our customers”.
African Eye Report
