Ahead of its official listing on the Nigerian Stock Exchange (NSE), MTN Nigeria has finally converted from a private company to a public liability company (PLC).
The telecommunications giant was expected to list as a publicly traded company on the NSE after the Nigerian Communications Commission (NCC) imposed a $5.2 billion fine on the company in 2015 for failing to disconnect 5.2 million unregistered subscribers on its network.
The Nigerian government had in 2010 asked all telecoms operators in the country to ensure all SIM-cards are registered in a bid to reduce kidnapping, robbery and other security challenges facing the country. The government gave August 11, 2015, for all telecoms companies to abide by the regulation.
The NCC fined MTN with the sum of $1000 for each of the 5.3 million unregistered SIM, which amounted to $5.2bn. The Nigerian government had as part of its terms to reduce the fine to $3.2 billion reportedly asked MTN to list on the NSE, which the telecoms giant reportedly obliged to.
The company announced on Wednesday that it has converted from a private to a public company, being one of the requirements for listing on the NSE.
Speaking on the conversion, Fredi Moolman, MTN CEO, stated: “Our conversion to a Plc is a major step towards listing by introduction on the Nigerian Stock Exchange in the first half of 2019.
“It is a reaffirmation of our long-term commitment to expanding investment opportunities for Nigerians, in addition to providing everyday services to them. We look forward to continuing our engagement with the SEC and NSE to take forward the listing process.”