MTN Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 1994/009584/06)
JSE Share code: MTN
ISIN: ZAE000042164
(MTN)

MTN announces successful upsized SA Debt Capital Markets Bond Auction
of R2.565 billion by Mobile Telephone Networks Holdings Limited (MTNH)


MTN’s ongoing treasury initiatives are geared towards managing its
debt maturities, maintaining adequate liquidity in the ordinary course
of business, and improve its debt currency mix.
As part of these initiatives, MTNH accessed      the local debt capital
market by means of a bond auction seeking R2.0   billion, with an option
to upsize to R2.5 billion. The notes on offer    varied in tenor between
three, five and seven years, with a preference   for longer dated notes.
The auction was held on 6 September 2022 and was well subscribed at
2.7x, with the total order book coming in at R5.431 billion; all
within or tighter than price guidance. This demonstrates a strong
appetite and support for the MTN credit from institutional investors
and participating banks.
Given the demand and attractive pricing on offer, MTNH upsized the
issuance to R2.565 billion issuing R540 million, R1.041 billion and
R984 million in three, five and seven-year notes, respectively. The
settlement date will be 13 September 2022. Please refer to the MTNH
announce at https://www.mtn.com/investors-shareholders/?tablink=sens


The auction has allowed MTN to meaningfully improve our pricing across
the curve, lengthen our debt maturity profile and advanced our
strategic activities of improving our ratio of non-rand to rand
denominated debt while at the same time increasing our usage of the
local debt capital markets.

MTN’s pro-forma Holdco leverage as at 30 June 2022 will remain
unchanged at 0.8x, post the settlement. On the same basis, the ratio
of non-rand to rand denominated debt would improve further to 33:67
post this issuance – and the recently reported cash tender offer
settlement – compared to the 42:58 ratio reported in MTN’s 2022 interim
results.

Certain information presented in this announcement constitutes pro
forma financial information. The responsibility for preparing and
presenting the pro forma financial information and for the
completeness and accuracy of the pro forma financial information is
that of the directors of MTN. This is presented for illustrative
purposes only. Because of its nature, the pro forma financial
information may not fairly present MTN’s financial position, changes
in equity, and results of operations or cash flows. This pro forma
financial information has not been audited or reviewed or otherwise
reported on by our external joint auditors.
Fairland
09 September 2022


Lead Sponsor
Tamela Holdings Proprietary Limited


Joint Sponsor
J.P. Morgan Equities South Africa Proprietary Limited