Nigeria’s leading telecommunications company, MTN Nigeria Communications (MTN Nigeria) Plc will tomorrow open application list for its public offering of 575 million ordinary shares to the general retail investing public at a price of N169 per share.
The Offer opens on Wednesday, 1 December 2021 and closes on Tuesday, 14 December 2021.
The Offer is in line with MTN Group’s commitment to reduce its shareholding in MTN Nigeria from 78.8% to 65% over time. The objective of the Offer is to provide as many Nigerian retail investors as possible with an opportunity to own shares in MTN Nigeria.
The minimum subscription is for 20 shares and lots of 20 shares thereafter. The Offer includes an incentive in the form of 1 free share for every 20 shares purchased, subject to a maximum of 250 free shares per investor.
The incentive is open to retail investors who buy and hold the shares allotted to them for at least 12 months, post the allotment date.
How to participate in the MTN Share Offer
Interested investors should ensure that they complete and submit applications through any of the following channels.
PrimaryOffer: To apply for shares through PrimaryOffer, investors need to:
Visit the PrimaryOffer website at www.primaryofferng.com
Download the PrimaryOffer app. Available for free from the App Store for IOS and Google Play Store
Receiving Agents: To apply for shares through the Receiving Agents, investors need to:
- Complete an application form.
- Submit the completed application form and evidence of payment to a Receiving Agent.
- For more information, call 080MTNOFFER or 0700INVESTNAIJA
NOTE: A Bank Verification Number (BVN) is required to register on InvestNaija, and investors will need to have a CSCS account number to complete the transaction. If you do not have a CSCS account, your stockbroker can assist in setting one up for you before completing your application. A CSCS account can also be created for you as part of the application process on InvestNaija.
Frequently Asked Questions
About MTN Offer
Q: What is the MTN Offer?
A: MTN Group is selling up to 575,000,000 shares in MTN Nigeria in the first phase of a series of offers that will reduce its shareholding in MTN Nigeria from 78.83% to 65% over time. The Offer is designed to maximise participation from local Nigerian retail investors, providing as many people as possible with the opportunity to own shares in MTN Nigeria.
Q: How will the shares be sold?
A: The shares are being sold through an offer for sale to the public. Applications for the MTN Offer opens from 8:00 am on Wednesday, 1 December 2021 to 5:00 pm on Tuesday, 14 December 2021.
Interested investors can find full details of how to submit an application at www.mtnonline.com/PO and should en…
Q: When does the Offer open?
A: 8:00am on Wednesday 1 December, 2021
Q: When does the Offer close?
A: 5:00pm on Tuesday 14 December, 2021
Q: How long is the Offer open?
- The offer is open for 10 working days, and you can apply even on weekends through the PrimaryOffer website or app.
Q: Is there a possibility for the Offer to be extended beyond the 10 days?
A: No, the Offer will not be extended. However, MTN Group has stated its intention to increase the free float of MTN Nigeria through the 14% sell-down over time. This Offer is the first step towards this objective. There may be further opportunities to participate in future offers.
Who Can Apply?
Q: Who can buy the MTN shares on offer?
A: Anyone above 18 years of age is eligible to buy the MTN shares on offer, but there are a limited number of conditions.
- Applicants must apply for a minimum of 20 shares and multiples of 20 shares thereafter.
- Applicants must have a valid BVN to register and submit an application on PrimaryOffer.
- Applicants must have a CHN and CSCS account.
Q: What is a CHN?
A: CHN (Clearing House Number) is a unique number that identifies each investor in the Nigerian Capital Market. The CHN is alpha numeric and starts with a “C”. Accordingly, your CHN details must be provided in the “CHN Number Details” section of your application.
Q: What is a CSCS Account?
A: The CSCS (Central Securities Clearing System) is a computerised depository system responsible for clearing, storing and settlement of securities transactions in the Nigerian Capital Market.
A CSCS account number is created for you by your stockbroker and can be used for buying and selling securities. Accordingly, your CSCS details must be provided in the “CSCS Account Details” section of your application.
Q: I don’t have a CHN and/or CSCS, can I still apply?
A: Yes, if you do not have a CHN and/or CSCS account, your stockbroker can assist in setting both up before completing your application. A CHN and CSCS account can also be created for you as part of the application process on PrimaryOffer.
Q: I live abroad, I am Nigerian, can I buy? How?
A: Yes, you can buy with your valid BVN.
Q: I am not a Nigerian, I live in Nigeria, can I buy? How?
A: Yes, however, you will need to register for a BVN to buy.
Q: I am not Nigerian, but I am a legal resident, can I buy? How?
A: Yes, however, you will need to have a valid BVN to buy or contact your stockbroker for further assistance.
Q: Can I buy shares for someone else?
A: Yes, you can buy shares for another person, if you have the beneficiary’s particulars, including BVN, CHN and CSCS account details. You will also need to input the beneficiary’s bank account details for future e-payments, including dividends.
How To Apply for MTN Share Offer
Q: How can I apply/where can I buy MTN shares?
A: Interested investors should use the approved channels listed below to submit an application. You can find full details of how to submit an application at www.mtnonline.com/PO or consult with your stockbroker or banker for further guidance.
MTN MoMo agents have also been trained to assist customers and provide guidance on using PrimaryOffer to submit an application.
PrimaryOffer by NGX – Apply for your shares digitally through the PrimaryOffer app by NGX.
Visit the PrimaryOffer website www.primaryofferng.com by NGX; or
Download the PrimaryOffer app by NGX from the App Store for IOS and Google Play store for Android devices.
A. BVN, CHN and CSCS Number is required to register and submit an application on PrimaryOffer.
B. Receiving Agents – Apply for your shares through authorised Receiving Agents – Issuing Houses, Stockbrokers & Banks (applications can be completed and submitted, and payments processed at bank branches nationwide).
An interested investor should complete an Application Form.
Submit the completed Application Form and make payment to a Receiving Agent.
Receiving Agent confirms receipt of payment for the number of shares applied for.
Receiving Agent issues an acknowledgement copy of the Application Form.
Receiving Agent submits the application on PrimaryOffer.
Applicant receives a notification from PrimaryOffer once the application is submitted by the Receiving Agent.
Q: What information should I keep after I submit the application?
A: Please keep a copy of the completed Application Form and proof of payment for your records and tracking purposes.
If you submit an application through a Receiving Agent, the Receiving Agent will provide you with a photocopy of the completed Application Form bearing the date and time stamp.
If your application is succesfully submitted through PrimaryOffer, you will receive a confirmation email.
Q: Can I submit multiple applications?
A: No. Suspected multiple applications will be rejected.
Q: Can I change my application after I have submitted it?
You cannot cancel or reduce the size of an application after payment has been made.
However, if you would like to increase the size of your application before the Offer closes, you can log back into your account on PrimaryOffer to indicate the additional amount of shares and proceed to make payment. All submissions and payments made under your profile before the Offer closes will be aggregated as one application under your name.
Also, if you have not submitted your application, you can modify or update your application on PrimaryOffer app before the Offer closes.
Q: Can I cancel my application?
A: The application is deemed complete once payment has been made and the application confirmed submitted. Please contact the Offer Customer Care team (080MTNOFFER or 070046837862452) if you have any issues regarding your submission.
Q: Can my application be rejected? And why?
A: The Issuing Houses and the Seller reserve the right to accept or reject any application in whole or in part for not meeting the conditions of the Offer. All irregular or suspected multiple applications will be rejected.
Q: Is there a minimum quantity I can apply for and/or buy? If so, what is the minimum?
A: Yes there is a minimum quantity of shares you can apply for. The minimum application is 20 shares and multiples of 20 shares thereafter, so 20, 40, 60, 80, 100, 120…etc.
Q: Is there a maximum quantity I can apply for and/or buy? If so, what is the maximum quantity, about how much is that in Naira, and why is there a maximum?
A: There is no maximum to your application. However, the amount of shares allotted will be within the offer size of up to 575,000,000 ordinary shares.
In line with SEC’s guidance, all investors are granted the minimum application of shares in full following which the remaining balance shall be allotted proportionately amongst the applicants. Accordingly, your application may not be fully filled, depending on the aggregate demand for the Offer.
Q: Will I receive the full amount of shares applied for?
A: The allotment of shares is determined based on the level of demand for the Offer. If the level of demand exceeds the size of the Offer, then the MTN Group may increase the size of the Offer by up to 15%.
However, if demand is considerably greater than supply (even after accommodating the additional 15%), then investors will be granted the minimum application of 20 shares in full, following which the remaining balance shall be allotted proportionately amongst applicants.
Q: What is the basis of allotment?
A: The shares will be allotted in line with the SEC Rules, which prescribe that all subscribers receive the minimum application of 20 shares in full, following which the remaining balance shall be allotted proportionately amongst applicants. An expected timetable is included in the Pricing Supplement for guidance purposes.
Q: When will the shares be allotted to me?
A: The Allotment Date will be the date on which the allotment of the shares is cleared by the SEC. This is typically up to 7 days after the transaction closes and depends on the quantum of applications received.
Q: When will the shares be credited to my CSCS account?
A: The CSCS accounts of successful investors will be credited no later than fifteen (15) Working days from the Allotment Date.
Q: How will I receive my returned monies?
A: Returned monies will be transferred to the account number stated on your application within five (5) working days of the Allotment Date.
Q: Do I need to pay to access and register on PrimaryOffer?
A: No, registration on PrimaryOffer is free. However, you require internet access to log on to PrimaryOffer.
The web version of PrimaryOffer is accessible at www.primaryofferng.com and is zero-rated for MTN subscribers.
Q: Do I need to pay any statutory charges on the purchase of shares in this Offer?
Q: Are there any tax implications of holding the shares purchased in this Offer?
A: No. However, the dividends that may be paid to shareholders of MTN Nigeria will be subject to withholding tax.
Q: When can I buy MTN shares in this offer?
A: The Offer Period is from 8:00 am on Wednesday, 1 December 2021 to 5:00 pm on Tuesday, 14 December 2021 and investors can submit applications at any point during this period.
Q: What is the process? Do I apply for shares and pay immediately? Or what?
A: Investors can apply for shares at any point during the Offer Period, and payment is required for an application to be deemed successfully submitted. All applications must be submitted and funded before 5:00 pm on Tuesday, 14 December 2021.
Q: After I have followed the process, what should I expect next?
A: If you submit through PrimaryOffer app, you will receive a confirmation email advising that your application has been successfully submitted. If you submit through any of the Receiving Agents, a photocopy of the completed Application Form, bearing the date and time stamp of the Receiving Agent, will be given to you by your Receiving Agent for your records and tracking purposes.
Following SEC’s clearance of the allotment, the shares allotted to you will be credited into your CSCS account and you will receive an automated SMS from CSCS notifying you of the credit.
Q: Who can I call to make enquiries?
A: You can make enquiries from any of the Receiving Agents – Issuing Houses, Stockbrokers or Banks.
You can also call the Customer Support Centre – 070046837862452 or 080MTNOFFER for enquiries.
Q: Can I submit an application for the MTN Offer at MTN stores?
A: MTN MoMo agents have been trained to assist customers and provide guidance on using PrimaryOffer to submit an application. Please dial *223# to locate the nearest MoMo Agent.
Customers can also engage with MTN customer service agents, who can answer some questions about the process. Full details on the support available can be found at www.mtnonline.com/PO.