Airtel Africa has announced its intention to undertake an initial public offering (IPO) of its Malawian unit. Airtel Malawi intends to apply for admission of its ordinary shares to trade on the Malawi Stock Exchange and will offer its shares for sale subject to relevant regulatory approvals and market conditions. The group notes that the indicative price range of the offer, as well as the exact number of shares to be sold, will be determined in due course.
The move will enable Airtel Malawi to comply with the country’s Communications Act of 2016, which requires the company to have at least 20% local shareholding. Airtel has selected Standard Bank (Malawi) to act as bookrunner and as lead transaction advisor.