- July 9, 2019
- Posted by: Myles Freedman
- Category: Finance, More Africa News
The Nigerian Stock Exchange (NSE) announces the IPO of Airtel Africa Plc, the African branch of the Indian telecom group Bharti Airtel, on July 9, 2019. This represents a total of 3,758,151,504 shares sold at 363 naira (US $ 0.9896) per share. That is a market capitalization of US $ 3,719,066,728, considered the third largest after those of Dangote Cement and MTN Nigeria.
Airtel Africa’s stock market listing in Nigeria comes a few weeks after London. On the one hand, it results from the Nigerian government’s political will to benefit local investors from the fruits of the growth of the national ICT and telecom sector, and on the other hand from the need of the telecom company to raise funds that will enable it to finance certain strategic operations, including further reducing its debt.
Currently, Nigeria is the most profitable African market of the Indian telecom group, out of its 14 subsidiaries. At the end of the fiscal year ended March 2019, the country boosted the growth of the African branch with an income of $ 1,106,000,000 out of $ 3,077,000,000. That is a 35.9% contribution, up 11%, compared to Airtel Nigeria’s revenue of $ 989,000,000 in 2018.
It is also the largest subscriber base of the African branch. That is 37.6% of the 99.8 million customers, representing a total of nearly 38 million consumers.
Source: Agence Ecofin