MTN sells towers in Cote d’Ivoire, Cameroon
CAMEROON| Oct. 12, 2012, 5:41 p.m.
MTN and IHS Holding Limited have entered into definitive agreements pursuant to which IHS will acquire up to 931 mobile network towers from MTN Cote d’Ivoire for USD141 million and up to 827 towers from MTN Cameroon for USD143 million.
Under the definitive agreements, IHS will be a 100% shareholder of the tower companies to be set up in each country to manage the towers and other passive infrastructure. MTN CIV and MTN CMR will, on commercial terms, become the anchor tenants on the towers being purchased for an initial term of ten years.
“The benefits to MTN of monetising our non-core assets and outsourcing passive infrastructure to experienced independent companies such as IHS are considerable,” said Sifiso Dabengwa, Group President and CEO of MTN Group. “With a continued commitment to improving the service to our customers, a reduction of our capital expenditure requirements allows us to concentrate on investing in our customer base and implementing additional services to meet the demand for innovative products and data.”
The sale of towers is in line with MTN’s infrastructure sharing strategy aimed at the monetisation of its assets and cost optimisation. The agreements include a commitment from IHS to roll out a build-to-suit programme to support MTN’s future requirements in both countries, as well as pursue opportunities to build tower sites for other wireless operators.
“We are delighted to build on our successful partnership with MTN for whom we have previously built and maintained sites in Nigeria and Sudan. Our strong technical capabilities and operational expertise reinforce MTN’s performance-oriented approach and high standards of service,” said Issam Darwish, CEO of IHS.
“This transaction is the next step in our strategy for expansion across Africa; we continue to invest in countries with attractive economic and demographic profiles. This transaction firmly positions IHS as a leading mobile tower infrastructure company in sub-Saharan Africa with resources for continued expansion and technological innovation.”
Following closing of the contemplated transactions, IHS will become the largest independent tower company in West Africa with a presence in the four largest economies in the region; Nigeria, Ghana, Cameroon and Cote d’Ivoire.
The transactions are expected to close during the first quarter of 2013, subject to customary closing conditions.
MORE CAMEROON NEWS
MTN launches a Young Graduate ProgrammeMTN Cameroon, leader of the telecommunications sector in Cameroon has announced the launch of its “MTN Young Graduate Programme’’. Read More
MTN Cameroon renews subscriber identificationMTN Cameroon has launched a nationwide campaign that will run until June 2016 to confirm the identity of each subscriber. Read More
Centurion mentorship programme offers support for African start-upsA new Pro Bono initiative will extend free legal services to start-up companies and small and medium-sized enterprises. Read More
MTN Cameroon Board lauds 3G+, 4G LTE rolloutsMTN Cameroon contributed 542 billion FCFA to State revenues between 2010 and 2014, and successfully rolled out 3G+ and 4G LTE, says the Board. Read More
Nigeria-Cameroun submarine cable goes liveMainOne has announced that the high capacity Nigerian-Cameroun Submarine Cable System (NCSCS) connecting Lagos, Nigeria and Kribi, Cameroun, has gone live. Read More
MTN launches first 4G LTE network in CameroonMTN has invested close to 60 billion FCFA over eight months to develop the first 4G network in Cameroon. Read More
MTN Foundation-MINESEC Digital Schools Programme connects LoumMTN Foundation has opened a multimedia centre at the government high school at Loum in the Littoral region, as part of its Digital Schools programme. Read More
MTN Cameroon wins ‘’Y’ello Care” challenge againFor the third time in four years, MTNC has emerged as the top OPCO of the MTN Group in the domain of CSR. Read More
MTN Cameroon launches fight against SIM box fraudMTN Cameroon has hosted a summit aimed at kick-starting a crackdown on SIM box fraud, which costs telcos millions in lost revenue annually. Read More
FEATURED STORYGovernment should encourage youths in ICT early
Youths should be given more encouragement to develop their ICT skills, an 11-year-old app developer told Kokumo Goodie.
BEST READ NEWS
IN DEPTHIBM Opens First Cloud Data Centre in South Africa
IBM is opening a new IBM Cloud Data Centre in Johannesburg, South Africa. The new cloud center is the result of a close collaboration with Gijima and Vodacom and is designed to support cloud adoption and customer demand across the continent.
COMPANY NEWSTigo, JI and GES equip teachers on child online protection initiative
Tigo, in partnership with J Initiative (JI), a youth focused non-governmental organisation in Ghana, have committed to protecting children online through policy advocacy, awareness creation, public education ...Ericsson and King’s College London demonstrate 5G tactile robotic surgery
Ericsson and King’s College London will be demonstrating a 5G use case of tactile robotic surgery at 5G World 2016 in London on 29-30 June.