NSSF gains Shs 80.6 Billion from MTN Uganda Investment
Over the last three years, Uganda’s National Social Security Fund (NSSF) has accumulated Shs 80.6 billion via its investment in the telecom company MTN Uganda. This comes after Shs 39.8 billion was paid out as dividends for the most recent year that ended on December 31, 2023.
NSSF Managing Director Patrick Ayota highlighted the significance of the recent dividend, noting it as the largest the fund has earned from a listed company in the region this year.
“MTN Uganda is not only the highest dividend payer across our equity portfolio this year but has also consistently delivered positive growth over the last three years since the IPO,” he said.
The Fund has previously received dividend payments totaling Shs 9.3 billion for 2021 and Shs 31.5 billion for 2022.
MTN Uganda has kept up with its impressive performance, giving its stockholders dividends that are constantly appealing. All registered shareholders received a dividend payment of Shs 6.4 per share, or Shs 143 billion, on June 7 through their designated bank accounts and mobile money wallets.
This came after two interim dividends totaling Shs 259.8 billion were distributed the year before in September (Shs 6.0 per share) and December (Shs 5.6 per share). In comparison to the previous year, the total dividend paid out for the Financial Year 2023 increased by 13.2%.
The company has demonstrated strong performance, as evidenced by the total dividend payments to shareholders of Shs 864.4 billion since the IPO in December 2021. According to Ayota, NSSF has invested an extra Shs 90.95 billion to buy 649,607,910 shares of MTN Uganda.
“We wanted to buy more, but the offer was oversubscribed,” Ayota noted. This investment followed a secondary market offer for ordinary shares announced on May 27, 2024.
