Airtel Africa Prepares to List on the Malawi Stock Exchange to Comply with the Country’s Telco Regulations

Airtel Africa based in Malawi has announced that it is prepared to list its shares on the Malawi Stock Exchange (MSE).

According to the telecom company, their shares are going to be available for the public to purchase once all the necessary regulatory approvals have been obtained.

Airtel Africa added that the offerings of the shares will be dependent on the condition of the market and the exact number of shares to be sold will be determined as preparation progresses.

The proposed listing of Airtel Africa’s subsidiary in Malawi is to comply with the country’s Telecommunications and Broadcasting Licensing regulation of 2016 which requires the company to have at least 20% local Malawian shareholding.

“Section 35 of the Communications Act of 2016, regulation 26 (2) of the communication, Regulations of 2016 and Clause 42.2 of the Subsidiary’s operating license requires the Airtel Africa to have at least 20% local Malawian shareholding.

Prior to the proposed listing on the MSE, Airtel Africa listed on the Nigerian Stock Exchange with 3.7 billion shares at an offer price of N363 per share in July after listing on the London Stock Exchange.

It also comes after a major competitor in Africa’s telecommunication market, MTN listed on the Nigerian stock exchange (NSE) in May. If Airtel Malawi’s listing is successful, it will be Airtel Africa’s second listing in Africa.

The exact date of the proposed listing wasn’t disclosed, but the telecom company has enlisted the services of Standard Bank Plc in Malawi to act as book runner and Lead Transaction Advisor to the company.

However, whether Airtel will adopt the same plan of targeting the sales of its shares to high net investors and qualified institutional investors like it did on the NSE hasn’t be disclosed.

Airtel Africa has subsidiaries in 14 African countries including Nigeria, Kenya and Uganda. With its about 33 million subscribers in Nigeria, Airtel Africa is rated the second largest telecommunication provider on the continent just behind MTN.