Mobile Telecommunications Limited (MTC) on Friday became the newest member of the Namibian Stock Exchange after it listed under the abbreviated name “MTC Limited”, share code “MOC” and International Securities Identification Number ISIN NA000A3CR803.
The mobile network operator became the first public enterprise in the country’s history to successfully transition from being 100% state owned, with Government outright owning the business through the Namibia Post and Telecommunications Holdings Limited (NPTH), to fully complying with the NSX listing requirements and securing a listing on the bourse.
The listing comes as the company raised N$ N$2.541 billion from its Initial Public Offering (PO) which closed at the beginning of the month, by far the largest IPO in Namibian history and more than three times larger than the previous IPO.
According to Public Enterprises minister Leon Jooste, the MTC listing is a culmination of three years of work and preparation, and not driven by urgent government revenue considerations.
“There is a perception that the decision to list MTC was taken simply because the Government needed to raise money. This perception is incorrect and the objectives that were agreed upon represent the true reasons for this decision that was in fact taken more than three years ago already as part of ongoing Public Enterprises reforms.”
Jooste said the listing also demonstrates the government’s commitment towards public enterprise reforms and is aimed at creating a new mindset as a listed company adhering to international best practices of corporate governance.
“There are some who claim that our efforts over the past 6 years have been fruitless, but there is no way that anyone can claim such a false narrative on a day like today. I acknowledge that there are multiple challenges that lie ahead to transform our Public Enterprises, but I can assure you that we have a solid understanding for the root causes of the challenges and that we have a dedicated plan to intervene appropriately in each and every case. It is totally unreasonable to expect that such an amount of negative momentum could simply be turned around overnight, especially under our current economic climate,” he said
What does this listing mean?
It means members of the public are now shareholders in MTC and that even if you did not manage to secure shares of the mobile company during the Initial Public Offering (IPO) which closed off at the beginning of the month, where the share price was set at N$8.50, you can still buy into the telco through a Stock Broker with its shares now publicly traded.
The only challenge you might face now is the share price might no longer be N$8.50 and that the Stock Broking firm that you will use, will charge you a fee.
Those that were allocated shares during the IPO, can now trade their shares.
