Aiden Kiprop 
- MTN Uganda Announces Proposed Structural Separation of MTN MoMo
MTN Uganda Limited has informed its shareholders that the Company intends to implement a proposed structural separation and reorganisation of MTN’s wholly owned subsidiary, MTN Moblie Money Limited (MTN MoMo), as part of it’s ongoing fintech strategy.
The restructuring is designed to create a more specialized fintech entity that can better respond to market opportunities and regulatory developments in the digital financial services sector.
The company revealed that the proposed transaction, if approved, would result in MTN MoMo ceasing to be a subsidiary of MTN Uganda.
The mobile money and financial technology services currently managed by MTN MoMo will be transferred to a newly formed company following a corporate amalgamation.
The circular has been prepared in accordance with the Capital Markets (Corporate Governance) Regulations 2025 and the Uganda Securities Exchange (USE) Listing Rules 2025.
“This circular provides MTN shareholders with relevant information relating to the Proposed Transaction to enable MTN shareholders to make an informed decision as to whether or not they should vote in favour of the Proposed Transaction,” read part of the statement.
Under the proposed structure, the new company will be jointly owned by MTN Group Fintech Holdings B.V. and a trust representing MTN Uganda’s minority institutional and retail shareholders.
“By separating the mobile money business into a standalone entity, we believe we can unlock greater value for both our shareholders and our customers as we continue to scale up financial services across Uganda,” MTN Uganda noted.
MTN Uganda shareholders are scheduled to vote on the proposed transaction at an extraordinary general meeting (EGM) set for July 2, 2025.
In preparation for this, a circular containing detailed information on the proposed transaction was issued on June 11, 2025, and is accessible to shareholders both electronically and via the company’s investor relations website www.mtn.co.ug/investors.
“MTN shareholders who have provided their email addresses to the MTN share registrar will receive the electronic version of the circular via email,” MTN Uganda stated.
The company emphasized that the transaction remains subject to shareholder approval, as well as various regulatory consents and no-objections.
In its advisory, MTN Uganda urged shareholders and the investing public to exercise caution when dealing in company shares while the transaction remains under consideration.
MTN MoMo allows customers to carry out mobile-based financial transactions such as money transfers, bill payments, savings, lending, insurance, and merchant payments, playing a significant role in deepening financial inclusion in Uganda.
