Airtel Africa To Sell Telecom Tower Companies In Madagascar, Malawi, Chad, Gabon To Helios Towers

Airtel Africa To Sell Telecom Tower Companies In Madagascar, Malawi, Chad, Gabon To Helios Towers

March 23, 2021

Airtel Africa plc (AAF.L), a provider of telecommunications and mobile money services in 14 countries across Africa, on Tuesday said it has signed deals to sell its telecommunications tower companies in Madagascar and Malawi to Helios Towers plc for approximately $108 million.

In addition, Airtel Africa has entered into exclusive Memorandum of Understanding agreements for the potential sale of its tower assets in Chad and Gabon to Helios Towers.

Airtel Africa’s tower portfolios in Madagascar and Malawi together comprise 1,229 towers which form part of its wireless telecommunications infrastructure network.

The transactions in Madagascar and Malawi are expected to close in or around calendar Q4 2021. Further, the proposed deals in Chad and Gabon are not inter-conditional and are expected to close before the end of fiscal year 2022.

Regarding deals in Madagascar and Malawi, Airtel Africa said its subsidiaries will continue to develop, maintain and operate their equipment on the towers under separate lease arrangements, largely made in local currencies, with Helios Towers.

The company has agreed to build an additional 195 sites across Madagascar and Malawi over the three years following completion, for which a further $11 million of consideration is payable.

Further, Airtel Africa said it expects to disclose consideration details for the proposed deals in Chad and Gabon upon signing of the acquisition agreements in each market.

The proceeds from all deals would be used to reduce external debt and to invest in network and sales infrastructure in the respective operating countries.

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