An ‘Aa+’ rating has been assigned to MTN Nigeria Communications Plc by 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 the country and across the globe.
A statement from the agency disclosed that the rating assigned to MTN Nigeria was hinged on its very strong financial condition, which is characterized, by very good profitability, strong cash flow, low leverage and experienced and stable management team.
It was further stated that the rating took into cognisance MTN Nigeria’s market leadership, its extensive network coverage and growing voice subscribers as well as active data users.
However, Agusto & Co emphasised that the telco was 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 strong presence in 21 countries and over 237 million subscribers.
The firm is the largest mobile operator in Nigeria, with over 60 million subscribers and 20.3 million active data users, controlling about 42 percent of the Nigerian telecommunications industry’s subscribers.
In May 2019, MTN Nigeria became a public limited liability company following its listing by introduction of 20.355 billion ordinary shares of two kobo at N90 each on the Nigerian Stock Exchange (NSE) to comply with regulatory requirements.
Business Post reports that as at the close of business on Friday, the company’s stocks were traded on the exchange at N129.05k per unit after gaining 50 kobo.
