plans to merge its mobile money arm, MTN Mobile Money (U) Ltd (MTN MoMo), with a newly created entity called MTN New FinCo, which will become the main operating company. The goal is to separate its core telecom operations from its fast-growing fintech business.

The new company will be jointly owned by MTN Group Fintech Holdings B.V., which oversees MTN’s global fintech strategy, and a trust representing minority shareholders, who currently hold 23.9% of MTN Uganda.

Once approved by regulators — including the Bank of Uganda, the Uganda Revenue Authority, and the Capital Markets Authority — MTN New FinCo will be licensed under the National Payment Systems Act and positioned as a key player in Uganda’s digital financial services sector. MTN has also revealed plans to list the new entity on the Uganda Securities Exchange in the near future.

The company has reassured customers and stakeholders that mobile money services will continue as usual throughout the transition. An extraordinary general meeting will be held on July 2, 2025, for shareholders to vote on the proposed transaction.

This move is part of MTN’s broader Ambition 2025 strategy, which aims to scale digital financial platforms across Africa by adapting to global tech trends.

Once the separation is complete, MTN will stop consolidating the financial results of its telecom and mobile money units. Each will report earnings independently, hold separate shareholder meetings, and pay out dividends separately. Shareholders, however, will still be entitled to participate in the governance and earnings of the new fintech entity.

On the day of the announcement, MTN Uganda’s share price rose slightly, closing at Shs269.57.