Telekom Networks Malawi Ltd (TNM) listed today closing at MKW 3.50 on an IPO Issue Price of MWK 2.00.
The premium is attributed to the failed bid by a consortium led by Telekom Malaysia to acquire a majority stake.
The company has raised over MK2.4bn of new share capital which will be applied directly into continued improvement and expansion of its telecommunications services. we note that the company is set for growth through continued improvement of service, growth in subscribers and expansion of its existing mobile network. Its core capacity shoudl increase from 1 million subscribers to 1.5 million subscribers by 31 December 2009.