Tigo Tanzania has submitted its prospectus and preliminary application to the Capital Markets and Securities Authority (CMSA) and the Dar es Salaam Stock Exchange (DSE) in connection with a proposed initial public offering (IPO) and listing of its shares on the Main Investment Market of the DSE.
The proposed offering is expected to commence after the CMSA and DSE complete reviewing the application, which is subject to market and other conditions.
Speaking on the submission, Diego Gutierrez, MD, Tigo Tanzania, said “We are delighted with the submission of our prospectus to officially start the process that will offer our customers, employees and the Tanzanian public at large, the exciting opportunity to become shareholders in our company”.
The Chairman of MIC Tanzania, Ambassador (Retired) Ami Mpungwe added: “Today’s submission is a significant milestone in the history of MIC Tanzania and it is in keeping with our desire to provide our fellow Tanzanians an equal opportunity to enter into the capital of Tigo in the near future. We will work together with all relevant regulatory bodies to ensure a smooth process going forward”.
Tanzania’s 8 MNOs are required to float 25 per cent of their shares to enable the public get an opportunity to invest in the mobile industry.
The deadline for operators to complete the listing is December 31, 2016 while failure to meet the deadline set by industry regulator Tanzania Communications Regulatory Authority (TCRA) could attract huge fines or suspension of the particular telco’s operating licence.
In November, Vodacom Tanzania became the first operator to submit its draft prospectus for the IPO.
Tigo, which industry leader with about 32 per cent of the market share, becomes the second telco to submit the prospectus according to Mobile World Live. The second telco in terms market share is Airtel (with 21 per cent) while in the third place is Vodacom (18 per cent).