MTN Shares Up On Payout Promise

MTN's shares have surged, thanks to news of the company's change in policy towards investor payouts. MTN said last week that it would aim to raise payouts in light of the fact that acquisition-based growth appeared to be slowing. The implication of this is that company has decided that it needs to hold less cash in reserve for merger and acquisition (M&A) activity than previously. This could suggest that MTN is no longer really looking for a massive acquisition, but BMI hopes that it will remain on the look out for judicious acquisitions, as we believe there are still some around.

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