Prime News Ghana

MTN Ghana seeks approval to buy back over 1m shares

By Justice Kofi Bimpeh
Shares
facebook sharing button Share
twitter sharing button Tweet
email sharing button Email
sharethis sharing button Share

MTN Ghana will host shareholders at an Extraordinary General Meeting (EGM) on Thursday, December 3, 2020, to seek shareholders approval to buy back some one million-plus shares for which applicants could not complete the transactions owing to ID issues.

A statement from MTN said the meeting will be held virtually and will be streamed live from the company’s Head office at MTN House, Independence Avenue from 11am.

“The purpose of the meeting is also to seek shareholders approval for the buyback of 1,089,630 shares from applicants who did not provide sufficient personal information to complete their Know Your Customer (KYC) requirements as required under the Company’s Initial Public Offer, and in accordance with a directive from the Securities and Exchange Commission,” it said.

The meeting will also seek authorization from shareholders for the implementation of an employee share scheme by way of an Employee Share Ownership Plan (ESOP) for lower-level staff, and an employee share scheme by way of Performance Share Plan (PSP) for senior staff.

According to the statement, the total amount of shares subject to the Employee Share Scheme are to be allocated on an estimated share price of GHC 0.60 representing about 4.41% of the issued share capital of Scancom Plc.

“This follows an agreement between the Government of Ghana, MTN Group and MTN Ghana reached in the first quarter of 2020 to increase local ownership in MTN Ghana by a further sale of ~12.5% shares in MTN Ghana to Ghanaians,” it said.

Speaking ahead of the EGM, the Corporate Services Executive of Scancom Plc., Sam Koranteng urged all shareholders to attend the EGM and to cast their votes on the resolutions outlined.

He noted that provision had been made for a shareholders who do not have smart phones to participate in the AGM to participate and vote by (i) dialing +233244300025; (ii) entering the access code 8000; and (iii) entering the conference pin number 056789.

Sam Koranteng said a unique token number would be sent to shareholders by email and/or SMS before the end of November 2020, to grant them access to the EGM.

“A shareholder may appoint a proxy to attend virtually and vote on their behalf. A copy of the Proxy Form may be downloaded from www.mtnghegm.com completed, signed and submitted via email to [email protected], at least 48 hours ahead of the December 3, 2020 EGM. Shareholders who do not submit proxy forms prior to the meeting, may vote using their unique token number,” the statement said.

Scancom Plc. (MTN Ghana) held its second post IPO AGM virtually on August 13, 2020 during which the financial statement for 2019 was presented to shareholders and at which all special resolutions relating to the amendment of the Companies Constitution were duly passed by Shareholders.

At the end of proceedings at the AGM, a final dividend of GHC. 4 pesewas for 2019 financial year was declared and paid on August 28, 2020 to shareholders.