MTN TAR­GETS FUR­THER AS­SET RE­DUC­TIONS

Pretoria News - - THE X-FILES -

MOBILE op­er­a­tor MTN said it had com­pleted the sale of ATC joint ven­tures for R8.9 bil­lion, as it tar­gets fur­ther as­set re­duc­tions of R25bn in the next three to five years. It said sub­se­quent to MTN’s an­nounce­ment on March 11 and the con­clu­sion of the dis­posal of its stake in ATC Uganda for R2.2bn, MTN had re­ceived reg­u­la­tory ap­provals to dis­pose of its stake in ATC Ghana. MTN was due to re­ceive a fur­ther $384 mil­lion (R6.5bn) in the next week. “This takes the to­tal pro­ceeds re­ceived for the dis­posal of both ATC Uganda and ATC Ghana to R8.9bn, which will be ap­plied to pay­ing down US-dol­lar debt and gen­eral cor­po­rate pur­poses,” it said. MTN said its as­set re­al­i­sa­tion pro­gramme (ARP) was to re­duce debt, sim­plify its port­fo­lio, re­duce risk and im­prove re­turns. On com­ple­tion, the group would have re­alised R15bn within the first 12 months of its ini­tial three-year ARP. “Con­se­quently, MTN has en­hanced its ARP guid­ance frame­work to a tar­get of at least R25bn in fur­ther as­set re­al­i­sa­tions over the medium term (three to five years) and a hold­ing com­pany lever­age tar­get ra­tio of be­low 2.0 times.” | Staff Re­porter

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