MTN Ghana Spins Off MoMo to Pivot Toward Fintech

MTN Ghana’s operators, Scancom PLC, have declared plans to restructure MobileMoney LTD (MML), its mobile money business, in order to comply with Ghana’s financial requirements.

A New FinCo, a distinct company that will eventually list on the Ghana Stock Exchange within three to five years, will be created as a result of the proposed reforms, which were detailed in a shareholder circular released by the Ghana Stock Exchange today, May 2, 2025.

The Payment Systems and Services Act of 2019, which mandates that electronic money issuers retain at least 30% local ownership, is the direct cause of the restructure.

At the moment, MML functions as a fully-owned subsidiary of Scancom PLC, which in September 2024 attained 30% Ghanaian ownership via its public trading on the GSE.

MML will merge with New FinCo under the new arrangement, giving the newly formed Ghanaian business all of its assets, liabilities, and staff. 

About 32.13% of New FinCo will be held by a trust mechanism on behalf of minority shareholders, guaranteeing compliance while preserving their financial stake in the mobile money industry. Until New FinCo’s planned listing on the GSE, when shareholders will acquire direct ownership holdings, this structure will continue.

The business emphasised that Scancom PLC, New FinCo, and MTN Group will split the costs of the transition, which will be tax-neutral for shareholders.

The circular asked shareholders to participate virtually in an Extraordinary General Meeting scheduled later this month, on May 21, 2025, at the Accra International Conference Centre. Although there is no need for a shareholder vote and the meeting is purely informational, it is a significant chance for investors to comprehend the ramifications of the restructuring.

This separation plan is in line with the company’s plan to spin off the Fintech units in Nigeria, Ghana, Uganda for Mastercard stake in which Nairametrics published in March 2025.