MTN Ghana is moving swiftly to restructure its mobile money business to comply with a key regulatory requirement imposed by the Bank of Ghana.
Under the Payment Systems and Services Act, companies operating as dedicated electronic money issuers are required to have a minimum of 30% Ghanaian ownership. MTN’s mobile money subsidiary, MobileMoney Ltd (MML), currently falls short of this threshold and faces a June 13, 2025 deadline to comply — or risk severe regulatory sanctions, including a potential shutdown of the MoMo business.
In a circular to shareholders dated April 30, 2025, MTN Ghana (Scancom PLC) announced that it will dissolve MML and transfer its assets, operations, and staff to a newly incorporated local entity named New FinCo.
A trust will be established to hold a 32.13% stake in New FinCo on behalf of Ghanaian minority shareholders, mirroring their current interest in Scancom PLC. The remaining 67.87% will be held by the MTN Group.
The reorganisation — referred to as the “MML Localisation” — will take place in two phases. The first phase, which focused on achieving 30% Ghanaian ownership at the parent company level (Scancom PLC), was completed in 2024 through trades on the Ghana Stock Exchange. The second phase involves a legal merger between MML and New FinCo. The success of this merger is contingent on several approvals, including from the Bank of Ghana, the courts, creditors, employees, and the Chief Labour Officer.
MTN Ghana is positioning the move as not just a regulatory necessity but a strategic realignment that will safeguard the future of its MoMo business.
The company also hinted at plans to list New FinCo on the Ghana Stock Exchange within the next three to five years, giving minority shareholders a chance to directly trade in the new entity.
Shareholders have been invited to an Extraordinary General Meeting on May 21, 2025, to be briefed on the localisation structure, although no vote will be taken at this stage.
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