MTN Ghana: No Loss of Shareholder Value Following MoMo Restructuring – Board Chair
MTN Ghana’s Board Chairman, Dr. Ishmael Yamson, has offered strong assurances to shareholders that their investments will remain intact despite the ongoing restructuring of the company’s mobile money business, MobileMoney Limited (MML). The restructuring, which is in line with the Payment Systems and Services Act, 2019, is aimed at aligning MTN’s financial services operations with national regulatory requirements.
Addressing shareholders at an Extraordinary General Meeting (EGM) in Accra on Tuesday, May 21, 2025, Dr. Yamson explained that MML’s operations will be transferred into a newly created Ghanaian entity currently referred to as “New FinCo.” This transition, he emphasized, is designed not only to meet regulatory standards but to safeguard the interests of shareholders throughout the process.
“You will still own your shares in Scancom PLC,” he stated. “In addition, through a trust structure, you will hold a beneficial interest in the new entity. This arrangement guarantees that you will receive both dividends and voting rights—just as you currently do. There will be no loss of value.”
He noted that the proposed structure will ensure that shareholder rights and returns from the mobile money business are preserved, even as the business evolves under a new regulatory framework. Eventually, New FinCo will be listed on the Ghana Stock Exchange, at which point the beneficial interest held through the trust will be converted into direct shareholding.
Dr. Yamson reassured attendees that the entire transition would be tax-neutral, and that the costs associated with the restructuring would be absorbed collectively by MTN Group, Scancom PLC, and the mobile money business. “This approach protects shareholder value and avoids placing any financial burden on minority investors,” he said.
The creation of New FinCo is part of a broader compliance initiative driven by the Bank of Ghana’s enforcement of the Payment Systems and Services Act. Under this legislation, companies providing financial services, including mobile money, are required to operate under distinct and regulated entities. MTN Ghana’s restructuring is a proactive response to these requirements and signals its commitment to operating transparently and responsibly within Ghana’s financial ecosystem.
A critical component of the transition is the establishment of a trust that will temporarily hold shares in the new financial services company on behalf of minority shareholders. This structure mirrors MTN Ghana’s current shareholding arrangement and ensures continuity. Once the new company is listed, these trust-held shares will be converted into direct equity, giving shareholders the same rights and benefits they have under the existing structure.
“This restructuring sets the foundation for stronger growth in our financial services segment,” Dr. Yamson noted. “It will allow the new company to operate more independently, attract top talent, and innovate more effectively within Ghana’s rapidly evolving digital financial landscape.”
Although no formal votes were taken at the meeting, the EGM served as an opportunity for management to brief shareholders on the upcoming changes and provide clarity on the next steps. The board promised ongoing engagement and transparency as the restructuring unfolds.
Dr. Yamson closed by emphasizing that the restructuring was not just a legal requirement but a strategic opportunity to unlock long-term value for shareholders. “This change is good for the future of our company and your investment. It will empower the mobile money business to grow faster and operate more competitively in a digital-first economy,” he concluded.
MTN’s mobile money business has become an integral part of Ghana’s financial landscape, enabling millions of Ghanaians to access digital payment services. As it transitions into a standalone financial institution, the focus remains on maintaining investor confidence while accelerating the company’s position in Ghana’s fintech space.
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