Crystal Telecom yesterday approved a dividend payout of Rwf1.5 billion at Rwf5.5 per share during its Annual General Meeting held in Kigali.

The figure represents 20 per cent payout on MTN Rwanda net income for 2016 and will be allocated to shareholders by end of the month.

Iza Irame, the chief executive of Crystal Telecom, said they remain confident of the performance of the firm despite the industry challenges.

"We remain confident in the performance of the underlying company MTN Rwanda despite the current industry challenges,” Irame said.

Crystal Telecom’s Annual General meeting was held two days after Rwanda Utilities and Regulatory Authority sanctioned MTN Rwanda for non-compliance with licence obligations.

RURA said the firm was found to have contravened a directive against hosting its IT services outside the country.

The regulator fined the telecom giant Rwf7 billion.

However, Izame allayed shareholders’ fears regarding the sanctions, saying they were engaging with MTN and was following the matter closely.

"We would like to reassure our shareholders of our commitment and continued updates on the matter as we engage with MTN,” she said.

The AGM also saw the election of new directors; Evelyn Kamagaju Rutagwenda and Irame.

Irame replaced Vincent Gatete as chief executive, with the later taking over his new role as the Chief Commercial Officer at Bank of Kigali.

Kamagaju was also elected as the Chairperson of Board of Directors, replacing James Gatera.

She has previously served as Auditor General and also sits on the Board of Directors of Equity Bank Rwanda, Equity Group Holdings Limited and Rwanda Development Board.

Through an IPO, Crystal Telecom in 2015 floated 270.71 million shares, which is 20 per cent of MTN Rwanda, and the IPO was opened at Rwf105 with the minimum share application at 1,000 shares.

The shares debuted at the Rwanda Stock Exchange at Rwf145 in July 2015.

This week, Crystal Telecom share price dropped from about Rwf90 to Rwf85 per share.

editorial@newtimes.co.rw