MTN Ghana IPO Apologises For Inadequate Investor Information
I can’t believe that in excess of US$15m of advisory fees were paid by MTN Ghana to its consultants and this did not result in the www.mtnghanashares.com website having a completely populated FAQ section for prospective investors. I pointed out the inadequate website content to MTN Ghana through Twitter. To their credit, the MTN Ghana […]
I can’t believe that in excess of US$15m of advisory fees were paid by MTN Ghana to its consultants and this did not result in the www.mtnghanashares.com website having a completely populated FAQ section for prospective investors.
I pointed out the inadequate website content to MTN Ghana through Twitter. To their credit, the MTN Ghana IPO team undertook to sort this critical problem out.
MTN Ghana should answer each and every question received and ensure these Q and As are published immediately on MTN Ghana IPO investor relations website. Each and every question. This content should also be disseminated widely through their social media channels as a means to point prospective investors to the FAQ section. This will deflect repetitive questions away from the advisory team which I am sure have their hands full.
There are other challenges in the MTN Ghana IPO too I believe. Here’s why:-
- MTN’s corporate communications team is deflecting questions about investment to their advisor’s IC Securities website. This is the correct thing to do since the MTN Ghana team are not advisors. However….
- The IC Securities website is a minimalist one with no direct resources for the IPO, it cross references back to the MTN IPO investor website. There is only an email channel (to an IC Securities email address) through which queries can be channelled. I speculate that his is highly inadequate, and combined with a blank FAQ page on the investor website the email address is being inundated with queries, many of which will be repetitive. I feel sorry for the poor soul managing this email address.
- With such a low minimum IPO application investment amount, and such a widely advertised (and increasingly hyped) digital and social campaign, its likely that many investors will be investing for the first time. The opportunity here to provide investor education courses at a time when most investors are interested is significant. The Ghana Stock Exchange should drop all of its fees for its investor education courses and get behind the MTN Ghana IPO with full and continuous courses and resources. Lack of budget is not an excuse in this case and between the Ghana Stock Exchange, IC Securities and MTN Ghana, a really impactful investor education initiative could be launched. Presently everyone has their eyes elsewhere.
I do not know how many investor relations queries are being received by MTN Ghana presently, but they have had 52,000 applications already according to news reports and there’s still + 6 weeks to go. There’s a lot still to happen.
The Ghana Stock Exchange and MTN Ghana and IC Securities should forthwith implement my suggestions and put investor education first. The first 3 topics to be entrenched in all communications immediately should be
- Share prices can go down as well as up
- Get professional advice before investing
- Do not invest just because everyone else is
MTN Ghana must not allow the hype of the IPO to overrule the responsibility of looking after IPO investors.
“MTN Ghana should answer each and every question received and ensure these Q and As are published immediately on MTN Ghana IPO investor relations website. Each and every question.”
View the MTN Ghana company page
Read the complete article: Rob Stangroom (AfricanFinancials CEO) LinkedIn
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