• Latest
  • Trending
  • All
  • News
  • Business
  • Politics
  • Science
  • World
  • Lifestyle
  • Tech

MTN share price increases on first day of trading

December 6, 2021
Regional communications regulators to meet telecoms over roaming calling rates

Regional communications regulators to meet telecoms over roaming calling rates

September 20, 2023
University of London commences work with six African states to help improve children’s health

University of London commences work with six African states to help improve children’s health

September 20, 2023
More guns recovered in Karamoja

More guns recovered in Karamoja

September 1, 2023
Natete United Triumphs as champions in the inaugural break free edition

Natete United Triumphs as champions in the inaugural break free edition

September 1, 2023
Minister orders for arrest of PDCs, ghost beneficiries over PDM mismanagement

Minister orders for arrest of PDCs, ghost beneficiries over PDM mismanagement

September 1, 2023
UBOS commended for contributing towards statistical harmonisation at EAC level

UBOS commended for contributing towards statistical harmonisation at EAC level

September 1, 2023
Gvt warns schools on fees increment after Speaker Among’s guidance

Gvt warns schools on fees increment after Speaker Among’s guidance

August 31, 2023
Airtel Uganda is being sold to anyone at 100 shillings; All you need to know about the Airtel IPO

Airtel Uganda is being sold to anyone at 100 shillings; All you need to know about the Airtel IPO

August 29, 2023
Let parents, CSOs and authorities join hands to fight child labour

Let parents, CSOs and authorities join hands to fight child labour

August 28, 2023
Pope Francis hails Museveni, Among for preserving family values

Pope Francis hails Museveni, Among for preserving family values

August 27, 2023
ADVERTISEMENT
News 24/7
  • Home
  • News
    • All
    • Business
    • Politics
    • Science
    • World
    More guns recovered in Karamoja

    More guns recovered in Karamoja

    Natete United Triumphs as champions in the inaugural break free edition

    Natete United Triumphs as champions in the inaugural break free edition

    Minister orders for arrest of PDCs, ghost beneficiries over PDM mismanagement

    Minister orders for arrest of PDCs, ghost beneficiries over PDM mismanagement

    UBOS commended for contributing towards statistical harmonisation at EAC level

    UBOS commended for contributing towards statistical harmonisation at EAC level

    Gvt warns schools on fees increment after Speaker Among’s guidance

    Gvt warns schools on fees increment after Speaker Among’s guidance

    Airtel Uganda is being sold to anyone at 100 shillings; All you need to know about the Airtel IPO

    Airtel Uganda is being sold to anyone at 100 shillings; All you need to know about the Airtel IPO

    Let parents, CSOs and authorities join hands to fight child labour

    Let parents, CSOs and authorities join hands to fight child labour

    Pope Francis hails Museveni, Among for preserving family values

    Pope Francis hails Museveni, Among for preserving family values

    Zaake protests over missing NUP supporters, faces disciplinary action again

    Parliament passes the Narcotics bill

    Bobi Wine supporters

    Don’t interfere with our business, Bobi Wine tells security

    Trending Tags

    • Donald Trump
    • Future of News
    • Climate Change
    • Market Stories
    • Election Results
    • Flat Earth
  • Entertainment
    • All
    • Gaming
    • Movie
    • Music
    • Sports
    Natete United Triumphs as champions in the inaugural break free edition

    Natete United Triumphs as champions in the inaugural break free edition

    Sheebah, Cindy trade in a word of war ahead of their battle show

    Sheebah, Cindy trade in a word of war ahead of their battle show

    Wrap up of the weekend NBL games

    Wrap up of the weekend NBA games

    I hope to be remembered as a Rubaga boy who embraced music and cherished his country-Navio

    I hope to be remembered as a Rubaga boy who embraced music and cherished his country-Navio

    Wrap up of the weekend NBL games

    The midweek excite as teams put up decent display

    Sir Apollo Kaggwa Schools holds musical production to showcase students’ talents

    Sir Apollo Kaggwa Schools holds musical production to showcase students’ talents

    Wrap up of the weekend NBL games

    Wrap up of the weekend NBL games

    Ex UPDF soldier guards me -Alien Skin

    Ex UPDF soldier guards me -Alien Skin

    Former Makerere University player, Fahaby Kitimbo is in Australia for Festival23

    Former Makerere University player, Fahaby Kitimbo is in Australia for Festival23

    Butiki League match day 4 pulls a huge crowd

    Butiki League match day 4 pulls a huge crowd

  • Watch Now
  • Sports
  • Shot Stories
  • Fact Checker
No Result
View All Result
News 24/7
No Result
View All Result
Home News

MTN share price increases on first day of trading

Daniel Lutaaya by Daniel Lutaaya
December 6, 2021
in News
Reading Time: 2 mins read
0
ADVERTISEMENT

MTN Uganda Share prices gained on the first day of trading on the Uganda Securities Exchange, from the Initial Public Offer price of 200 shillings per share.

The shares traded at an average 205 shillings per share, which was a gain of 2.5% from the IPO price, erasing fears of an underperformance in the first days of the listing.

The fears were due to the result of the IPO that showed that the public had purchased only 65 percent of the shares that the company offered in the IPO and many reasons for the undersubscription were suggested including low demand.

However, in the first 10 minutes of trading on the USE Monday registered turnover of 64,000 shares while the value of MTN Uganda as a company increased by 189 billion shillings. This caused excitement among the leadership of the company, Stanbic Bank who the transaction advisors, and SBG Securities the lead broker, as well as the shareholders.

MTN Uganda Chief Executive Officer, Wim Vanhelleputte said that they encountered a lot of challenges during the IPO period, but mainly due to the lack of awareness amongst the public largely because of absence of IPO activities in Uganda in a long time. He also blamed misinformation especially on social media about the company and the listing process in particular, to the extent of the company and the Capital Market Authority being sued for alleged violation of regulatory procedure, which suit did not succeed.

ADVERTISEMENT

The sale of at least 20 percent shares to the public is one of the conditions that are given to companies seeking to get a National Telecommunication Operator (NTO) license.

Now, at 65 percent subscription, the company is yet to meet the requirement, according to the Uganda Communications Commission, of having a local ownership of at least 20 percent.

This currently amounts to about 15 percent of the company owned by Ugandans. The capital markets authority has however given MTN a grace period of three years and MTN CEO Vanhelleputte says that this will be met within that time frame.

Uganda Communications Commission Executive Director, Irene Sewankambo says it will take long and a lot of effort to make the Ugandan public appreciate the financial market because, apart from lack of knowledge, there is too much misinformation via social media.

ADVERTISEMENT

In what has so far been registered as the largest initial public offering in Uganda’s history, and in Africa this year, the primary share sale raised 535 billion shillings from applications for 2.9 billion shares (including incentive shares).

MTN says that the applications that were not successful were the ones which had errors, mostly regarding the identity of the applicants. The Acting Chairman of USE, Richard Byarugaba says the private investors should learn from MTN experience that there is a lot of money for capital though the stock market instead of going for the expensive commercial bank loans.

ShareTweetSend
Previous Post

WATCH NOW; Uganda Government denies Chinese take over of National Airport

Next Post

MTN Share prices gain on first day of trading

Daniel Lutaaya

Daniel Lutaaya

Next Post
MTN uganda

MTN Share prices gain on first day of trading

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Trending
  • Comments
  • Latest
Why more Ugandans in diaspora want policy on migrant workers reviewed

UAE stops Issuance of 30-day Visas to Ugandans

October 24, 2022
Kampala Massage

“I have live sex with 18 clients a day” – Kampala massage therapist

October 2, 2022

Muhoozi Promotion is Actually a demotion – Solomon Serwanjja

October 5, 2022
Immaculate Kibekyenga Corruption unit

Anti Corruption unit saves Girl from Saudi Organ Harvest racket

5
4.8 Billion Collected in Traffic Police Operations

4.8 Billion Collected in Traffic Police Operations

3
Doctor on ebola frontline speaks to us annonymously

“We are denied PPE, threatened and intimidated” – Exclusive Interview with a doctor on the Ebola Frontline

3
Regional communications regulators to meet telecoms over roaming calling rates

Regional communications regulators to meet telecoms over roaming calling rates

September 20, 2023
University of London commences work with six African states to help improve children’s health

University of London commences work with six African states to help improve children’s health

September 20, 2023
More guns recovered in Karamoja

More guns recovered in Karamoja

September 1, 2023
ADVERTISEMENT
News 247

Copyright © 2021 24/7 Broadcasting Ltd. [email protected]

  • About
  • Advertise
  • Privacy & Policy
  • Contact

Follow Us

No Result
View All Result
  • Home
  • News
    • Virtual Exhibition
    • Politics
    • Business
    • World
    • Science
  • Tech
    • Apps
    • Gear
    • Mobile
    • Startup
  • Entertainment
    • Music
    • Movie
    • Sports
  • Lifestyle
    • Food
    • Fashion
    • Health
    • Travel
  • Shot Stories
  • Fact Checker

Copyright © 2021 24/7 Broadcasting Ltd. [email protected]