NCC Celebrates MTN’s N1trn Gains In Capital Market
The Nigerian Communications Commission (NCC) is counting the gains of the listing of MTN in the Nigerian Stocks Exchange (NSE) market, asserting that investors have “raked in approximately N1 trillion in price appreciation and dividends since April 2020”.
Its Director of Public Affairs, Dr Ikechukwu Adinde, said MTN’s presence in the market was as a result of efforts from the regulatory body and the Central Bank of Nigeria (CBN).
“The listing of MTN was as a result of NCC’s effective regulatory action taken during the mobile network operator’s fine settlement agreement in 2016, which compelled the telco to, among other things, list on the Nigerian Stock Exchange (NSE),” he said.
The statement reads: “The listing was one of the outcomes of the NCC’s stringent regulatory posture, which served as tonic for other telcos such as Airtel to follow the same direction.
“As the country’s independent telecoms regulatory authority, the NCC, working with the Central Bank of Nigeria (CBN), facilitated the landmark listing of the country’s largest telecommunications operator on the bourse.
“That important regulatory action enabled Nigerians, consistent with the Nigerian Communications Act (NCA) 2003, to partly, own, manage and control MTN. This bold and courageous regulatory action is now transforming lives and boosting the economy,
Adinde also stated that the listing had helped to translate into action, an important objective of the Commission, which is to promote local investment and ownership in the telecom sector.
“With MTN shares available in the capital market, it is expected that Nigerians will buy shares and by purchasing the shares of MTN, they will be financially empowered and be socially transformed,” he said.
Stating that telecoms is a capital-intensive industry that requires continuous investment, Adinde said the listing will enable the telecoms companies to raise capital for the expansion of their networks.
“Also, one of the benefits of listing on the NSE is that telcos have enormous opportunity for raising more capital for network expansion, which will, in turn, bring about improvement in the quality of service delivery and quality of experience for telecom consumers,” he said.