South Africa’s MTN Group is set to increase its stake in MTN Cyprus to 100%.
MTN Group will increase its stake via its wholly owned subsidiary, MTN Dubai, which has agreed to acquire a 50% equity interest in MTN Cyprus from its local partner, Amaracos Holdings. This will give MTN full ownership of the Cypriot unit
This transaction forms part of MTN Group’s strategy to consolidate its investments and will provide further opportunities to accelerate its product and service offerings to the Cypriot market, the telco said in a statement.
MTN Group acquired its initial investment in MTN Cyprus in 2006 as part of a larger transaction when it bought Investcom LLC, a holding company of operations in 10 countries in Africa and the Middle East.
Since 2008, MTN Cyprus has grown its market share from 14% to about 33% and its subscriber base reached from 316 000 by September 30, 2012.
MTN Group CEO Sifiso Dabengwa said: “MTN Cyprus is well established within a market that has good potential for accessing innovation and knowledge sharing that can benefit the overall MTN group.”
The acquisition is subject to approval by the Commission for Protection of Competition of the Republic of Cyprus.