The Book Building for the planned Initial Public Offering (IPO) of Airtel Africa which opened on June 18 closes on June 28.
Book Building is the process by which the underwriters attempt to determine the price at which the initial public offering (IPO) will be made.
The offer price ranges from N363 to N454 per share, according to the offer document. The price is still an indicative price subject to the outcome of the ‘Book Building’ exercise by the company.
The number of shares at the lower price range is 676.406million units while at the top of the price range are 541.12million units.
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The Offer size ranges from $501.12million to $716.40million. The market capitalisation of the company is $4.18billion.
The official announcement of the offer price, offer size, and publication of the pricing statement and allocation of ordinary shares will be done on the same day (June 28).
On June 29, new ordinary shares will be allotted to the shareholders, while the shares will be admitted for trading on the Nigerian Stock Exchange (NSE) on July 4.
Airtel Africa had announced plans of an Initial Public Offering (IPO) of shares worth $780million (N270billion) on the premium board of the London Stock Exchange (LSE) and subsequently, the Nigerian Stock Exchange (NSE).
The proceeds from the offer will be used to offset the company’s net debt.
Participation is restricted to Qualified Institutional Investors and High Net-worth Individuals. Meanwhile, some market operators are setting up Special Purpose Vehicles (SPVs) to aggregate the demand of retail investors. Upon successful completion and listing on July 4, 2019, all shares will be crossed into investors’ CSCS account.
