MTN sells towers in Cote d’Ivoire, Cameroon

BUSINESS

|
Image: By BiztechAfrica
MTN sells towers in Cote d’Ivoire, Cameroon

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.



Share the News

Get Daily Newsletter

Search News

comments powered by Disqus

MORE BUSINESS NEWS

Networks Unlimited opens head office for Africa in Mauritius

Networks Unlimited has opened a head office servicing its African business in Mauritius. Read More

Orange completes Tigo acquisition in DRC

Less than three months after signing an agreement with Millicom, Orange has completed the acquisition of 100% of the mobile operator Tigo in the Democratic Republic of the Congo (DRC). Read More

New cloud platform offers SMEs greater convenience

MTN Business has unveiled a new cloud delivery platform in Rwanda and Cameroon, which will enable SMEs to access cloud services with greater ease. Read More

Travelport appoints new regional manager for East African headquarters

Nita Nagi, formerly of Kenya Airways, has been named as the new lead for Kenya, Uganda, Rwanda and Burundi. Read More

Orange completes the acquisition of the Liberian mobile operator Cellcom

Liberia will now become the 20th country in Africa and the Middle East to join the Orange group with the acquisition by Orange of Cellcom, Liberia’s leading mobile operator. Read More

Orange invests in African e-commerce leader Africa Internet Group

Orange has announced the acquisition of a 75 million-euro equity interest in Africa Internet Group. Read More

HR departments need to keep pace with technology’s accelerating speed

The world of human resources (HR) is changing at a speed that is leaving most HR departments behind. New technology is bringing more transparency into the job market and into the performance of the HR department, creating new challenges for HR directors. Read More

Survey provides glimpse into the world of young entrepreneurs in Africa

The Anzisha Prize, the premier award for Africa’s best young entrepreneurs, published the Anzisha Youth Entrepreneurship Survey 2016 this month, which provides a snapshot of the realities facing young entrepreneurs in Africa. Read More

Vodacom Business Nigeria appoints indigenous CEO

Vodacom Business, Nigeria’s leading total telecommunications provider has completely Nigerianised its operation with the appointment of Mr. Lanre Kolade as its Managing Director.  Read More

Konga.com appoints new CEO

Nigeria’s largest online mall company, Konga Online Shopping Limited, has announced the appointment of Mr. Shola Adekoya as its new Chief Executive Officer (CEO). Read More

PRESS OFFICES

Sage EnterpriseSAP AfricaTrust PayVMWareSamsung ElectronicsMitsumi DistributionPhoenix DistributionMTN BusinessSchneider ElectricMultichoiceMicrosoft 4AfrikaNetworks UnlimitedArbor Networks
Advertisement

FEATURED STORY

Criticism over Remita borne out of ignorance, says SystemSpecsCriticism over Remita borne out of ignorance, says SystemSpecs

The CEO of SystemSpecs, the company behind the revenue-saving Nigerian Single Treasury Account (TSA) system, speaks to Biztechafrica.

IN DEPTH

IBM Opens First Cloud Data Centre in South AfricaIBM 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 NEWS

Keeping up with the mobile banking evolution

Africa especially has witnessed the trend of mobile banking, due to the well-known fact that today more people on the continent have access to a mobile phone ...