Airtel and IHS have announced an agreement under which IHS will acquire over 1100 telecoms towers in Zambia and Rwanda.
The agreements will allow Airtel to focus on its core business and customers, enable it to deleverage through debt reduction, and will reduce its on-going capital expenditure on passive infrastructure in these African markets.
For IHS, the acquisition is another major step towards the scale needed to provide shared telecoms infrastructure solutions in Africa.
The agreements are subject to statutory and regulatory approvals.
Christian de Faria, MD and CEO at Africa, Bharti Airtel, said: “We are delighted to partner with IHS, which has a proven track record in passive infrastructure management in Africa and look forward to working with them. This agreement will accelerate infrastructure sharing amongst operators and benefit customers in form of affordable tariffs and wider network coverage.”
Issam Darwish, executive vice chairman and Group CEO of IHS, commented: “We have been working with Airtel for many years. And we are very pleased to have signed our first Buy and Lease Back transaction with Airtel. The opportunity to expand our East African business bringing IHS’ market leading energy and infrastructure management practices to a wider market is an excellent opportunity. We are very excited that following this deal more mobile phone users will benefit from the efficiencies and increased network uptimes that will result.”