Here’s why you are yet to receive your MTN shares

Through the first two weeks of December 2021, MTN Nigeria made a public offering to sell 575 million ordinary shares to Nigerians at the price of N169 per share, in what was referred to as another first for MTN in the Nigerian market. 

As of January 21, 2022, more than five weeks after the public offering closed, MTN Nigeria is yet to allot shares to thousands of Nigerians who participated in the public offering.

TheCable had earlier reported that MTN will allot shares 15 days after regulatory approval, but none of the shares sold at the public offering has been allotted to date.

MTN Nigeria is still awaiting regulatory approval from the Securities and Exchange Commission (SEC), TheCable understands.

As of Friday, January 21, 2022, MTN share price had risen to N190 per unit, from the N169 it was sold in December 2021.

It is unclear if this means an immediate gain for those who bought the share during the offering as MTN is yet to disclose if the 575 million shares had been priced into the market.

On January 17, 2021, Uto Ukpanah, MTN Nigeria company secretary, said MTN has not released any information about share allotment, and whatever information was circulating in the media at the time was inaccurate.

“The attention of MTN Nigeria Communications PIc (MN Nigeria) has been drawn to media reports purporting to provide information on the allotment of shares from the recently concluded offer for sale of some of MN International (Mauritius) Limited’s shares held in MTN Nigeria,” he said.

“The information being reported did not emanate from the Company. The Securities & Exchange Commission’s review process is ongoing, and an announcement will be made by the Company once all regulatory approvals have been obtained.

He advised shareholders and the investing public to “exercise caution when reacting to information the Company has not released”.

After regulatory approval is granted MTN, the company may need another 15 days to adequately allot the shares to as many Nigerians who participated in the share offering.