MTN launches new R9,9 billion transaction to empower, uplift

MTN is committed to transformation and empowerment to enable historically disadvantaged individuals and groups to participate in the economic mainstream, and to give them equity ownership in the company.
Accordingly, the MTN Group will implement a new R9,9 billion Broad-Based Black Economic Empowerment (BBBEE) transaction, MTN Zakhele Futhi. The existing special purpose empowerment vehicle, MTN Zakhele, will contractually unwind on 24 November.
MTN Zakhele has created exceptional value for 124 00 black investors, increasing nearly fourfold from R20 per share at inception in 2010, to about R77 per share in August.
That equates to a total return of about 400% and a compounded annual growth of about 26%.
The proposed MTN Zakhele Futhi scheme will take the form of a public offering where qualifying black participants will be invited to subscribe for and beneficially own ordinary shares in MTN Zakhele Futhi with a minimum investment amount of R2 000 and MTN Zakhele shareholders will be given the opportunity to re-invest a portion of their MTN Zakhele shares. The MTN shares, to be issued to MTN Zakhele Futhi, will be issued at R102,80 per share.
MTN Zakhele Futhi is designed to offer the black public an opportunity for long-term and sustainable benefits during the scheme’s proposed eight-year-period.
The MTN Zakhele Futhi Offer has launched on 12 September and will close on 21 October. Copies of the prospectus containing details of the MTN Zakhele Futhi Offer will be available at participating Nedbank branches and MTN stores around South Africa. It can also be found online at www.mtn.com/zakhelefuthi.
“The MTN Zakhele Futhi offer is designed to provide the black public with an opportunity for exposure to MTN’s geographically diversified operations, earnings and growth markets,” said MTN South Africa Chief Executive Officer, Mteto Nyati at the launch of the MTN Zakhele Futhi Offer in Johannesburg recently.
The MTN Zakhele Futhi information road show will be at the Indoor Sports Centre in Thohoyandou on Monday at 12:00 and at the Jack Botes Hall in Polokwane on Tuesday at 12:00.
For more information, please contact: Xolisa Vapi on 083 200 4363 or send an email to xolisa.vapi@mtn.com or mtngrouppressoffice@mtn.com.

Featured photo: Photo: MTN South Africa Chief Executive Officer, Mteto Nyati says the Zakhele Futhi offer is designed to provide the black public with an opportunity for exposure to MTN’s geographically diversified operations, earnings and growth markets.  (photo supplied)