Airtel Africa has announced plans to list its mobile money business, Airtel Money, on the London Stock Exchange through an initial public offering.
The telecommunications group said on Wednesday that the proposed IPO would involve the sale of existing shares by current shareholders of Airtel Money.
The transaction will therefore not involve the creation of new shares or provide fresh capital to Airtel Money.
“The proposed IPO would comprise a secondary offering of existing Airtel Money shares to be sold by existing Airtel Money shareholders, with no new capital being raised by Airtel Money,” Airtel Africa said.
As part of the proposed transaction, Airtel Money plans to apply for admission of its ordinary shares to the equity shares (commercial companies) category of the Financial Conduct Authority’s official list.
It also intends to seek admission of the shares to trading on the main market of the London Stock Exchange.
Airtel Africa currently owns 77.85 per cent of Airtel Money’s issued ordinary shares.
The group said it intended to remain a long-term strategic shareholder in Airtel Money after the proposed listing, while continuing to support the subsidiary’s growth as an independently listed business.
Airtel Africa said the announcement included details of Airtel Money’s operations, strategy, financial performance, current trading and outlook.
The company added that further announcements regarding the proposed IPO would be made when appropriate.
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