MTN Awards Its CEO Dabengwa R18.6m In Shares

Mobile network MTN has awarded its Group President and CEO  Zimbabwean born Sifiso Dabengwa with 83 100 shares in the company worth R18.6m.

In a market update released on Monday, the Johannesburg Stock Exchange (JSE) listed MTN announced that it is awarding ten of its directors and a company secretary with shares worth a total of R86.4 million.

The shares, which are valued at a market price of R224 each, have been awarded as part of MTN’s Performance Share Plan and subject to certain conditions. MTN said in its announcement that the shares can be vested three years from the award date of December 19 by the directors.

However, MTN – which has 22 operations across Africa and the Middle East with over 210 million subscribers – has been under pressure from a falling oil price hitting its Nigerian market and weaker voice revenues in South Africa.

Fin24 market report dated November 26 said that MTN’s share price at the time dropped 1.4% to R221 after the devaluation of the Nigerian currency.

The Nigerian central bank devalued its currency by 8% in light of falling oil prices. Nigeria contributed more than a third of MTN’s R72.8bn ($6.6bn) revenue in the first half of this year.

In South Africa, MTN reported that its outgoing voice revenue fell 8.6% for the six months ending June 2013 to R8.4 billion.

News 24