Connecting Africa is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 3099067.

Business of Tech

MTN to list in Uganda

Article Image
MTN Uganda will float 20% of its shares on the Uganda Securities Exchange (USE).

MTN Group, which owns 96% of MTN Uganda, said it had received approval from the Capital Markets Authority and the USE for the initial public offering (IPO).

The South-African based group said the listing would potentially be the largest IPO on the Ugandan exchange and will be delivered primarily through a digital paperless/green platform which is the first of its kind in East Africa.

"The intention to float announcement is a major step towards delivering on our plan to list on the USE," said MTN Uganda board chairperson Charles Mbire.

"It is a reaffirmation of our long-term commitment to expand investment opportunities for Ugandans and we look forward to continuing our engagement with the CMA and USE to take forward the IPO and the listing."

Reuters quoted Keith Kalyegira, CEO of the Capital Markets Authority saying that the IPO is expected to raise about $1.2 billion – double what Uganda's capital market has raised since its inception in 1998.

In June 2020, MTN paid $100 million to renew its license in Uganda for another 12 years. The listing comes as no surprise as one of the conditions of the license was to list at least 20% of its equity on the stock exchange by the end of June 2022.

The decision follows listings of MTN’s units in Nigeria, Ghana and Rwanda, which were a combination of a strategy for more local ownership and pressure from governments and local regulators.

MTN said that mobile penetration in Uganda has grown from less than one percent in 1998, when MTN started operating in the country, to 67% as of March 2021.

"MTN Mobile Money (MoMo) has also revolutionized the financial landscape. Formal financial inclusion has nearly doubled from 28% in 2009 when MoMo was introduced in Uganda to 58% as of 2018," MTN said.

MTN had almost 15 million subscribers in Uganda at the end of June and it said it has 1,000 direct employees in the country and employs another 150,000 indirectly.

Related posts:

— Paula Gilbert, Editor, Connecting Africa

Innovation hub

Story

Connecting Africa Podcast: Ep. 3 – Startups, funding and failing fast with Zachariah George

This week the team chats to Startupbootcamp AfriTech Co-Founder Zachariah George about venture capital and angel investing in Africa and what he is looking for in the next generation of tech startups.

Story

Orange opens Digital Centers in Côte d’Ivoire and Cameroon

Orange has launched two new Digital Centers, one in Côte d'Ivoire and another in Cameroon, with plans to open more in Africa this year and into 2022.

More Innovation hub

Latest video

More videos

Guest Perspectives

Story

Omdia View: September 2021

By Omdia Analysts

This month's Omdia View covers Africell's Ugandan exit and MTC's Namibian stock exchange IPO; as well as Netflix's free Kenyan offering and a new broadband service in SA from Multichoice and MTN.

Story

Omdia View: August 2021

By Omdia Analysts

Omdia's analysts provide context and analysis about MTN's decision to exit Syria and not bid again for an Ethiopian license, as well as 5G news from Mauritius, Ghana, Mayotte and Reunion.

More Guest Perspectives

Partner perspectives

All Partner Perspectives

AfricaCom perspectives

Story

Digital inclusion as a catalyst for economic empowerment: Mastercard's Imelda Ngunzu

Mastercard's Imelda Ngunzu talks to Connecting Africa about how digital payment solutions and mobile money are transforming the lives of small business owners, women and marginalized groups in East Africa.

Story

Accelerating women in STEM: In conversation with GirlCode's Tinyiko Simbine

GirlCode co-founder and CFO Tinyiko Simbine talks about why it's important to help girls and young women excel in science, technology, engineering and mathematics (STEM) fields.

Story

How Poa Internet is unlocking meaningful connectivity in East Africa

Poa Internet's CEO Andy Halsall shares his views on what it takes to develop last-mile connectivity and get Africans online in a meaningful way.

More AfricaCom perspectives

Upcoming events

More Upcoming events

Flash poll

All polls

Upcoming webinars

Meeting SME’s where they are - Building inclusive ecosystems for Africa’s small business owners

Micro and small businesses have been, and still are, the spine and lifeblood of the African economy, making up 90% of businesses on the continent.

Many of these businesses have still been operating in traditional ways and serving non-digital customers. With Covid-19 expediting the digital transformation process, businesses - big and small - have been forced to adapt to operate successfully in a more digital-first environment.

To ensure that the digitalization of Africa’s market doesn’t leave micro and small businesses behind, digital solutions must be inclusive and create business-ready environments. But how can we ensure that African SMEs become digitally enabled?

In this webinar we will share from our own experience on how to create such an environment, and the actions we took in vcita to get there, including:

  • Closing the digital literacy gap through tech inclusion 
  • Making a positive impact on local communities
  • Building the foundations for digital inclusion and small business growth in a technology-accelerated world
  • Building the foundations for digital inclusion and small business growth in a technology-accelerated world

Register Here >>

More Webinars

Sponsored video

More videos

Like us on Facebook

Newsletter Sign Up


Sign Up