MTN Group, Africa’s largest mobile network operator, is in advanced negotiations to acquire the 75 per cent stake in IHS Towers that it does not currently own, in a deal that could value the tower infrastructure company at approximately $2.76 billion.
The proposed transaction, which has been reported by Reuters and confirmed by MTN, involves the telecom giant buying the remainder of its holding in IHS Holdings, the independent tower company listed on the New York and Frankfurt stock exchanges.
According to market data, IHS’s shares closed lower recently, placing the company’s market capitalisation near $2.76 billion, a figure that underpins the potential valuation of the deal.
MTN’s current ownership stems from a 2014 tower sale transaction, when it divested most of its tower assets across Africa to IHS for infrastructure sharing.
In a previous statement, MTN Group President and Chief Executive Officer Ralph Mupita highlighted the importance of long-term network sustainability, saying:
“The renewal of the various contracts across our markets into the next decade put MTN operations in the respective markets onto a more sustainable footing.
“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. These renewals are key to those priorities. We look forward to working constructively with IHS on the outstanding governance issues now that commercial arrangements have been concluded.”
MTN said any offer would reflect IHS’s recent market valuation, emphasizing that negotiations are ongoing and no binding agreement has yet been reached.
Should the transaction be completed, analysts say MTN would gain greater control over crucial network infrastructure, potentially reducing long-term costs and reliance on external operators.
MTN further noted that if a full buyout is not realised, it will explore alternative strategies to unlock value from its existing stake in IHS within its capital allocation framework.
Both companies are major players in markets such as Nigeria, where MTN remains a key customer and shareholder of IHS.
