Categories: BusinessNews

MTN in talks to acquire IHS towers in potential $2.76bn buyout

MTN Group, Africa’s largest mobile network operator, is in advanced negotiations to acquire the remaining 75 per cent stake in IHS Towers that it does not already own, in a deal that could value the telecoms infrastructure company at about $2.76 billion.

Reuters reported on Thursday that MTN is discussing a possible buyout of IHS Holdings, the parent company of IHS Towers, based on the firm’s latest closing price on the New York Stock Exchange.

MTN currently holds roughly a 25 per cent stake in IHS, a position it secured in 2014 after selling most of its tower assets across several African markets to the company as part of a major infrastructure transaction.

The telecom operator relies heavily on IHS for tower services in key markets, including Nigeria, making the potential acquisition a significant strategic move.

If completed, the deal would give MTN greater control over critical network infrastructure, potentially helping it manage operating costs, improve service quality, and reduce long-term dependence on third-party providers.

MTN said any offer would reflect IHS’s recent market valuation, adding that discussions are still ongoing and no binding agreement has been reached.

IHS Holdings, which is listed on the New York and Frankfurt stock exchanges, closed lower on Wednesday, giving it a market capitalisation of approximately $2.76 billion, according to market data.

In an earlier statement, MTN Group President and Chief Executive Officer Ralph Mupita said the company remains focused on strengthening its networks to meet growing demand for data services.

“We remain focused on ensuring our networks are well invested, have high availability, and have the headroom to meet the growing and structural demand for data going into the future,” he said, noting that renewed commercial arrangements with IHS would support those priorities.

MTN added that if negotiations do not lead to a transaction, it will explore alternative ways to unlock value from its existing stake while maintaining its capital allocation strategy.

Both firms have maintained a long-standing commercial relationship, with MTN serving as IHS’s largest customer across several African markets and also ranking among its major shareholders.

LUKMAN ABDULMALIK

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