MTN MTN agrees to sell its associate stake in BICS for R1,8 billion MTN Group Limited (Incorporated in the Republic of South Africa) (Registration number 1994/009584/06) (Share code MTN) (ISIN: ZAE000042164) (MTN or the Group) MTN agrees to sell its associate stake in BICS for R1,8 billion Further to the updates provided in its 2020 interim and third quarter results, MTN is pleased to announce that the Group has concluded an agreement to sell, and thereby fully exit, its 20% shareholding in Belgacom International Carrier Services SA (BICS) to Proximus NV/SA. The timing of closing is dependent on customary regulatory approvals. Once all the conditions precedent have been fulfilled, MTN will receive proceeds of approximately 100 million1 (R1,8 billion) in cash, which the Group intends to use to pay down US dollar debt and for general corporate purposes. The transaction consideration compared to MTNs market capitalisation results in a percentage below the categorisation threshold as prescribed in the Listings Requirements of the JSE Limited. BICS was classified as a non-current asset held for sale and this transaction has resulted in a remeasurement of its carrying value resulting in a reduction of R397 million for the year ended 31 December 2020. MTN will record a profit on disposal amounting to approximately R1,2 billion during the first half of 2021, mainly due to the release of the foreign currency translation reserve. This results in a net impact of R812 million over the two periods. The sale represents further progress in MTNs stated asset realisation programme (ARP), which aims to reduce debt, simplify its portfolio, reduce risk, improve returns and unlock value. Note: Assuming FX rate of R17,94: 1 Final proceeds dependent on closing timing Fairland 9 February 2021 Lead sponsor J.P. Morgan Equities South Africa Proprietary Limited Joint sponsor Tamela Holdings Proprietary Limited Date: 09-02-2021 09:10:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.