Telecel Group, an Africa-focused telecommunications company, has acquired two West African units from MTN Group Ltd., Africa’s largest wireless company, in preparation for its upcoming initial public offering (IPO) within the next three years.
The purchased assets include MTN’s debt and equity in Guinea-Bissau and Guinea-Conakry, marking another strategic move by Telecel to expand its operations in the region. This acquisition follows Telecel’s previous purchase of Vodafone Group Plc’s operations in Ghana last year.
This move will allow MTN to focus on Ghana, Cameroon, and Cote d’Ivoire, stronger markets in the West and Central Africa region which collectively contribute 18.6 per cent to the group’s revenue, over other West and Central African (WECA) countries that contribute 7.3 per cent to the firm.
Moh Damush, CEO of Telecel Group, revealed that the company is considering listing its shares in Dubai and London, signaling its preference for international stock exchanges.
Additionally, Telecel expressed interest in exploring listing opportunities on African bourses in the coming years, highlighting its commitment to leveraging the continent’s growing telecommunications market, Bloomberg first reported.
Africa’s youthful and rapidly expanding population presents a lucrative market for telecommunications companies like Telecel.
However, operating in African markets also entails challenges such as insufficient energy infrastructure and catering to consumers with lower income levels. Despite these challenges, Telecel remains optimistic about its growth prospects in the region.
