Mr Wim Vanhelleputte, the Chief Executive Officer of MTN Uganda.

MTN Uganda on Monday, 11 October 2021 officially offered 20 per cent of the company shares to the public.

Mr Wim Vanhelleputte, the Chief Executive Officer of MTN Uganda, opened the Initial Public Offer (IPO) to the public at a value of only UGX 200 per share

“The MTN Uganda majority shareholder MTN South Africa is offering 20% of its shares at a value of only UGX 200 per share. In total, MTN is offering Shs4.5b of its shares at a value of Shs200 per share,” he announced.

The IPO period will run from 11th October to 22nd November 2021. Minimum shares one can apply for is 500 shares at UGX100,000

Mr Vanhelleputte said the company has organised several roadshows in Kampala and upcountry to engage potential investors.

“We have organized 200 town hall roadshows to engage face to face with potential investors,” he said.

Application for the shares can be bought through:  through MIPO (USSD + MTN App) platform, you will get 10 free shares for every 100 shares and traditional ways of the USE.

Charles Mbire, the chairperson of the Board of Directors MTN Uganda at the function on Tuesday. PHOTO/COURTESY

“We have opened an M-IPO platform that allows you to open an SD account using a USSD or via your mobile money account,” the MTN CEO announced.

 For Easy Portal or through your brokers, you will get 5 free shares for every 100 shares bought.

You can apply for shares in the comfort of your home by simply:

1. Dialling *165*65# to open SCD account and then applying for MTN shares

2. Visiting the  MyMTN app to open SCD account and apply for MTN shares

On 6th December 2021, MTN will be listed on the Uganda Securities Exchange after completion of the IPO process in order for it to start trading.

With the IPO price of UGX200 per share and 4.47b shares on sale, MTN will raise Shs895bn ($250million) from this process of taking shares to the public.

MTN is offering 20% shares to the public out of the 96.02% shares it owns. Charles Mbire owns the 3.98% of the company.

According to the MTN prospectus, they will target a dividend pay-out ratio of at least 60% of annual profits after tax.

According to the MTN prospectus, the share capital of MTN consists of only one class: ordinary shares.

Therefore, all of the company’s shares rank on equal footing (pari passu) and no preferential rights apply.

“Every shareholder who is entered in the company’s register of members as of the relevant date will have the right to attend and vote at the general meetings  of the Company (with each Share carrying one vote except in the event of a vote by poll where voting will be based on the number of Shares held),” the prospectus reads in part.

 The shareholder will also have the right to participate in full in all dividends and other distributions declared in respect of the Shares the relevant shareholder owns and the right to participate in all surpluses in the event of the liquidation or winding up of the company.

Ms Anne Juuko, CEO of Stanbic Bank Uganda, one of the primary dealer banks in the country, urged  the public to buy the shares.

“For as little as Shs100,000, you have a chance to be a shareholder in MTN Uganda. You cross from being a subscriber to an owner of MTN Uganda,” she announced