Nigeria’s first credit Rating Agency and a pan African leader in credit reports, Agusto & Co. limited whose strong credibility presence and ratings are globally accepted in Nigeria and across the globe has just assigned an Aa+” rating to MTN Nigeria Communications Plc.
The rating assigned to MTN Nigeria Communications Plc. (“MTN Nigeria”, “MTN” or “the Company”) is hinged on the Company’s very strong financial condition, which is characterized, by very good profitability, strong cash flow, low leverage an experienced and stable management team. The rating takes into cognisance MTN’s market leadership, its extensive network coverage and growing voice subscribers as well as active data users. However, we note that MTN Nigeria is prone to regulatory interference, which has led to volatility in its profitability in recent years.
MTN Nigeria is a member of the MTN Group – Africa’s leading cellular telecommunications company with a strong presence in 21 countries and over 237 million subscribers. MTN Nigeria Communications Plc. is the largest mobile operator in Nigeria, with over 60 million subscribers and 20.3 million active data users, controlling about 42% of the Nigerian telecommunications industry’s subscribers1. In May 2019, MTN became a public limited liability company following its listing by the introduction of 20,354,513,050 ordinary shares of ₦0.02 each on the Nigerian Stock Exchange to comply with regulatory requirements.
The opinions expressed in this rating release do not represent the investment or other advice and should therefore not be construed as such. Visit www.agusto.com for further information.
