Airtel Uganda, the mobile communications and information technology services provider in the East African country, has said that ‘discussions are going on internally’ concerning the listing of a 20% stake in the company via an initial public offering (IPO).
According to local media reports, Airtel public relations manager David Birungi confirmed this but did not divulge details, saying the company will inform the public when discussions are complete.
Airtel is expected to sell at least 20 percent of its shares through an Initial Public Offer to fulfill a requirement under the National Broadband Policy.
A report from the Daily Monitor says the cellco has still to release further details, including the possible timing of the IPO. According to UCC, the requirement for listing must be within two years from the date of issuance of the licence undertaken per the existing listing rules as prescribed by the Uganda Capital Markets Authority.
Airtel renewed its licence in 2020, meaning it is supposed to list on the stock exchange this year. Airtel Uganda paid the Ugandan government $77.79 million to renew its 20-year licence, its latest financial report shows.
Airtel in Africa is listed on the stock exchange in Zambia, Tanzania, Nigeria, and Malawi.
Its rival cellco MTN Uganda held its IPO last month. MTN’s Initial Public Offering (IPO) is priced at Shs200, with 4.47 billion ordinary shares on offer. The IPO period closed on Monday, November 22, 2021.