MTN set to sell large part of its Ghana unit to local investors for about $790m
Accra — A record amount of stock is heading for Ghana’s market as MTN Group is said to prepare to sell a chunk of its local unit to investors for about $790m. The shares should be snapped up, the country’s second-largest money manager said. The numbers are striking: the planned listing would be more than 10 times bigger than the country’s largest initial public offering (IPO) to date. Even so, demand from foreign investors attracted by MTN’s profitability should ensure the IPO is a success, said Alex Boahen, head of research at Databank Group. "The offer will generate a lot of global interest," Boahen said by phone from the capital, Accra. "If you see the numbers, it’s a very profitable company. MTN has a dominant market position and a lot of investors will like to get a piece of the fast-growing telecoms sector." MTN’s Ghana unit increased the target for its IPO by more than half to 3.48-billion cedis ($788m), people familiar with the matter told Bloomberg last week. The listing of...
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