Telecom Giant Sonatel to Split Shares on BRVM From October 26

Daba Finance/Sonatel to Split Shares 10-for-1 on BRVM From October 26

BREAKING NEWSOctober 20, 2026 at 1:43 PM UTC

TLDR

Sonatel (BRVM: SNTS) to split shares at a 10-for-1 ratio on Oct 26, 2026, aiming to make stock more affordable for individual investors on BRVM.
Existing Sonatel shares to be replaced with 10 new shares each, reducing share nominal value to 50 CFA francs from 500 CFA francs.
Split will not change Sonatel's market capitalization or existing shareholder ownership percentages; final trading day under current structure on Oct 23.

Senegalese telecommunications company Sonatel (BRVM: SNTS) will split its shares at a ratio of 10-for-1 on October 26, 2026, in a move aimed at making its stock more affordable to individual investors and increasing trading activity on the West African regional stock exchange, BRVM. Shareholders approved the transaction at an extraordinary general meeting on October 8, according to a company statement dated October 12.

Under the plan, each existing Sonatel share will be replaced with 10 shares, reducing the nominal value per share from 500 CFA francs to 50 CFA francs. The number of outstanding shares will increase from 100 million to 1 billion, while the company's share capital will remain unchanged at 50 billion CFA francs ($89 million). The transaction will not change Sonatel's market capitalization or the percentage ownership of existing shareholders. An investor holding 10 shares before the split will own 100 shares afterward, with the same total theoretical investment value.

The company said October 23 will be the final trading day under the existing share structure, while the split will take effect when the BRVM opens on October 26. The exchange will publish an adjusted reference price before trading begins under the new structure. Sonatel shares closed at 42,800 CFA francs on October 19, implying a post-split price of 4,280 CFA francs if the transaction were based on that closing price. The actual reference price will depend on the stock's closing price before the split.

Sonatel wants to lower the amount investors need to purchase its shares, which rank among the most expensive on the BRVM by unit price. The stock traded around 38,800 CFA francs before the split proposal gained attention in September and reached about 45,000 CFA francs toward the end of that month. At the October 19 closing price, shares remained about 10% above the earlier level, despite pulling back from their September peak. The split could attract investors who previously could not afford a single share, although it does not guarantee higher demand or trading activity.

Existing shareholders will receive their new shares without submitting applications or paying fees. The BRVM's Central Depository/Settlement Bank and securities account providers will process the adjustments. Sonatel, one of the BRVM's largest listed companies by market capitalization, is seeking to increase participation in its shares without changing its underlying financial position. The success of the transaction will depend on whether the lower share price leads to more investors, transactions and trading value after October 26.

Key Takeaways

Sonatel's 10-for-1 stock split could provide a test of whether lower share prices can increase retail participation on the BRVM, where the cost of purchasing individual stocks can limit access for investors with smaller portfolios. At a pre-split price of 42,800 CFA francs, an investor needs that amount to purchase 1 Sonatel share, excluding brokerage fees. Following the split, the same investor could purchase 1 share for a theoretical 4,280 CFA francs, reducing the minimum entry amount by 90%. However, the transaction does not increase the company's value, earnings or dividend payments. Any dividend declared for the same total distribution would be spread across 10 times as many shares, leaving the total payment to an existing shareholder unchanged. Sonatel previously conducted a share split in 2012, making the October transaction another attempt to improve access to its stock. Other BRVM-listed companies, including Ecobank Côte d'Ivoire and Onatel Burkina Faso, have also implemented share splits. The implications extend beyond Sonatel because of its weight in the BRVM Composite and BRVM 30 indices. Its market capitalization will remain unchanged immediately after the operation, meaning the split will not itself affect its index weighting. The distinction between trading volume and trading value will matter when measuring the outcome. A shareholder selling 10 shares after the split would be transferring the same economic interest as someone selling 1 share before it. Higher share volumes alone would therefore not demonstrate greater liquidity. Investors will need to watch trading value, transaction frequency, bid-ask spreads and changes in the shareholder base to determine whether the split has achieved Sonatel's objective of making its stock more accessible.