Proposed MTN listing on NSE excites stakeholders, Bourse yet to get notification

MTN

MTN

Although the listing of the telecommunication giant MTN is not a reality yet, the proposal is generating excitement amongst some stakeholders in the stock market.

The Guardian gathered in Abuja, last week that the 2017 date is already being cited as an ice-breaking development that may lead to the influx of other multinational companies in the country. The move by the telecommunications giant followed another move by government to ensure all international firms operating in Nigeria are listed on the Stock Exchange since most international companies in the country are hesitant on operating outside of the Exchange. Indeed, there is the in government quarters that the multinationals are possibly resisting the listing in order to repatriate their earnings back to their country of origin.

Speaking to The Guardian on the development in Abuja, a broker and a shareholder in the capital market, Gideon Okon, said that the proposed listing would give Nigerians opportunities to become co-owners of the organization.

“For quite a long time most of these blue chip companies have being running away from our capital market. This neither helped the Nigerian economy, neither has it paid the Nigerian businessmen as well. But with the proposed coming of the MTN on the Stock Exchange, will not only boost the market but also improve the financial welfare of would be shareholders,’’ he said

According to Okon, the development will help Nigeria arrest the so-called capital flight as declared dividends for foreign investors in the company will reduce drastically.

On his part, Head, Corporate Communication of the Securities and Exchange Commission (SEC), Naif Abdussalam, told The Guardian that the development is a good omen to the nation’s capital Market.

‘’On our part, this is what SEC has been preaching, if you will recall, we have been on sensitization of stakeholders across the country drumming support for the Commission to convince government to ensure that all telecommunication companies operating in Nigeria are listed on the capital market. We have taken these campaigns to the National Assembly, the Presidency, to the Nigerian general public to see reason for such an action is necessary.”

Abdussalam insisted that if listed, many Nigerian shareholders who have been awaiting for such opportunity would go to the stock exchange market to buy shares, which will improve local investors’ financial standing.

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1 Comment
  • Basil Ogbanufe

    But government should sell (privatize) NNPC etc to Nigerians by way of IPO (Initial Public Offer) and its shares listed on the floor of the NSE (Nigeria Stock Exchange).

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