Africa’s leading mobile telephone operator MTN will cede 35 percent of its Ghana operations for local ownership, Chief Executive Officer for MTN Ghana Ebenezer Asante announced on Monday.
According to him, the prospectus for the proposed public offer has been with the Securities Exchange Commission (SEC) and once approval is given, the public will have the opportunity to own a part of the company.
Speaking to stakeholders and media, Asante explained that consultations had been held with sector stakeholders including the National Communications Authority(NCA), Bank of Ghana, Ghana Stock Exchange (GSE) before the decision was made.
The telecom giants secured one of the licenses for Ghana government’s Fourth Generation Long Term Evolution (4G/LTE) in 2016.
The government however made partial local ownership of the company one of the key preconditions for any company that wanted the 4G license.
This followed unheeded calls by locals for multinationals in the very profitable sectors of Ghana’s economy to cede part of their shares for local ownership.
“Three months after SEC grants approval of our prospectus, we will get into the process of ceding 35 percent of our shares to Ghanaians,” the CEO reiterated.
With a subscriber base of 19 million, MTN is the largest mobile telecoms service provider in Ghana, having taken Areba in 2007 at a subscriber base of 4 million.
The company has ventured into financial intermediation being one of the leading mobile money transfer operators with 56 million cash transactions in 2016 alone. Enditem
Source: Justice Lee Adoboe, Xinhua/NewsGhana.com.gh