MTN Nigeria Tumbles as Investors React to Licence Revocation Threat
MTN Nigeria Plc lost about N2.4 trillion in market value due to significant selloffs on the local bourse amid a threat of licence revocation against South African companies.
The company’s market value nosedived as investors sold down holdings amid potential diplomatic retaliation by the Nigerian government against South African authorities over sustained threats against Nigerians in South Africa.
The telecom company’s market value fell 14% as lawmakers’ threat eclipsed euphoria over its latest earnings momentum. The negative market reaction dragged MTN Nigeria from the top of the market cap to third position.
NGX data showed that MTN Nigeria’s share price declined to N801.1 at the close of trading on Friday, amid calls for regulatory action against South African companies operating in Nigeria.
The market recorded a significant transaction volume in MTN Nigeria, led by sell-side actors seeking to exit their position following the Q1 earnings release and share price re-rating. MTN Nigeria Plc’s market value topped N19 trillion on the local bourse after the company announced impressive Q1 2026 earnings.
The results attracted investors who quickly ramped up shares in the open market. A week later, the stock experienced sharp selloffs amid intense political elite discussions over how South Africans are treating Nigerians in their country.
Senator Adams Oshiomhole called on the Nigerian Federal Government to revoke the operating licenses of South African companies, specifically mentioning MTN and DStv (MultiChoice), as a retaliatory measure against renewed xenophobic attacks on Nigerians in South Africa.
Speaking during a Senate plenary in May 2026, the Edo North Senator strongly disapproved of the violence, arguing for an “economic struggle” rather than mere diplomatic dialogue.
The call for MTN Nigeria’s license revocation sparked selloffs, pushing the telecom company’s market value below N16.819 trillion. The threat could be the only way out for the South African government to do what is right, analysts said. Oando Plc Slides Amidst Late Earnings Filing
