Following MTN’s much-anticipated news that the public can now apply for MTN shares that will allow them to own a piece of the company, there has been a lot of buzz this week. MTN has made 4.5 billion shares available to the public for only, with a minimum investment of 500 shares.
The shares are purchased in lots of 500, which means that a potential investor can apply for 500, 1000, 1500, or more shares.
MTN has democratized the share buying procedure at the Uganda Securities Exchange by launching the first ever mobile IPO, as is customary for the company.
MTN KYC compliant consumers will be able to apply for shares via mobile money from the comfort of their own homes, thanks to the M-IPO platform.
MTN has incentivized the offer for all Ugandan citizens applying for MTN Shares to encourage participation in accordance with the company’s localization strategy of obtaining broad-based Ugandan ownership.
The incentive includes 10 bonus shares for every 100 shares applied via MTN MoMo via USSD or the MyMTN app, and 5 bonus shares for every 100 shares applied via other channels, such as paper applications or the USE site.
The following is a step-by-step guide on how MTN customers can use a USSD to apply for MTN shares through the M-IPO.
- To begin, you’ll need a SCD account, which will serve as your share account.
- You can open that account by dialing *165*65#.
- Then choose Option 1 to submit an application for a SCD account.
- After that, you’ll be asked to provide your whole National ID Number (NIN)
- Decide which broker you want to work with. A broker is a financial expert who is authorized by the Capital Markets Authority to buy and sell stocks on behalf of investors.
- Then, to accept the terms and conditions, select option 1.
- Save the prompts after entering your five-digit mobile money PIN.
- Upon successful submission, you will receive a confirmation SMS including information about the creation of your SCD Account.
After everything is completed, you can use your mobile money to purchase MTN shares.
How to Buy MTN Shares With Phone
- Simply call *165*65# to get started. Choose option 2 to apply for MTN shares.
- You will be reminded to read the prospectus at that time, after which you can select ‘1’ for ‘Buy MTN Shares for self’.
- After that, you’ll be asked to enter your SCD account information, after which you’ll see a list of share values.
- These range from 500 to 2500 shares (Shs100, 000) (Shs 5million). If your share value choice isn’t listed, you can make numerous entries until you reach the needed value.
- After selecting the needed value, you will be asked to confirm the transaction by entering your pin number.
- The system will ask if you have read the prospectus once more.
- When you press 1 to acknowledge that you have read it, your application will be submitted, and you will receive a confirmation SMS with your application ID for reference.
Using the My MTN APP to apply for shares
If you have a smartphone, download the My MTN app and search for Uganda Securities Exchange.
This will take you to a page where you can download the MOMO app. Select Uganda Securities Exchange from the drop-down menu, which will open a new window asking if you have an existing SCD account.
If you don’t have a SCD account, please choose No SCD account and follow the directions to create one right away.
If that’s the case, click Existing SCD Account Holder and then Apply for MTN Shares.
To apply for the shares, simply follow the directions.
Please be aware that there is a daily limit ranging from Shs 100,000 to Shs 5 million.
Source: Nyscinfo