MTN Zakhele Futhi scheme to unwind; MTN share placement announced

MTN Group (JSE:MTN) has announced the full unwind of the MTN Zakhele Futhi (MTNZF) broad-based black economic empowerment scheme. The decision comes with the consent of relevant funders, including MTN itself. To facilitate the unwind and settle Funding Obligations, MTNZF has launched an accelerated bookbuild offering, placing 23,768,040 MTN ordinary shares (representing approximately 1.26% of total issued ordinary shares) at a price of ZAR128.00 per share. This price represents a 2.8% discount to the previous day's closing price of ZAR131.74. Proceeds from the placement will be used to settle preference share funding, cover taxes and unwind costs, and distribute the remaining balance to MTNZF ordinary shareholders, including MTN as an approximate 14.8% shareholder in MTNZF. The transaction is designed to realize value during the Scheme Extension period which was announced on 12 November 2024. Further details are available on the MTNZF website.