In April, MTN Nigeria announced its intention to sell 60% of its mobile‑money subsidiaries MoMo PSB and Y’ello Digital to its parent, MTN Group. The transaction, valued at ₦95.5 bn, received shareholder approval on 30 April after KPMG issued a fairness opinion.
The headline "2.1x premium" is calculated against the net impaired book value shown in MTN Nigeria’s nine‑month financial statements to 30 September. The statements record an investment of ₦107.95 bn in the two fintech firms as of December 2025, offset by ₦63.06 bn of impairment, leaving a net book value of ₦45.39 bn. Dividing the sale price by this net figure yields 2.10, matching the advertised multiple.
When measured against total cash invested, the valuation is lower. The ₦95.5 bn price represents 88 % of the ₦107.95 bn invested by December 2025 and 69 % of the ₦137.95 bn invested by September 2026, indicating a loss of 12 % to 31 % relative to cash outlays.
Deposit growth and wallet activity
The same nine‑month statements show customer deposits in MoMo rising from ₦9.84 bn in December to ₦43.82 bn at the end of September, with 97 % held in treasury bills. The increase occurred largely in the third quarter, where deposits jumped by ₦34 bn. However, active wallets fell from 5.0 million at the half‑year to 3.2 million at September, a 36 % decline attributed to a platform migration and de‑activation of legacy accounts.
Revenue figures show core mobile‑money revenue growth of 132 % at the half‑year and 102.2 % over the nine‑month period, suggesting slower growth in the quarter when deposits surged.
The financial statements are unaudited and do not break down impairment by subsidiary, nor do they disclose MoMo’s revenue or profit in naira. The sale remains subject to regulatory approval and had not closed as of 30 September; MTN Nigeria said the impact on its disclosures will be finalised once control transfers to the parent.
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