Airtel to Sell 1100 Towers to IHS in Zambia and Rwanda
Published By : 15 Dec 2014 | Published By : QYRESEARCH
Bharti Airtel made a huge announcement about its deal with IHS Holding Ltd. The Indian telecom giant plans to sell 1,100 telecom towers across Rwanda and Zambia in the African continent. This move by Airtel comes as it is tries to focus on strengthening its core business and provide better service to its customers. The telecom giant also intends to reduce its risk with debt reduction with these sales proceeds. Bharti Airtel’s deal with HIS Holding Ltd will help the former company to cut down on its relentless capital expenditure on passive infrastructure in the African Markets.
In a comment stated by Christian de Faria, MD & CEO - Africa, Bharti Airtel, he stated, this arrangement will expedite the sharing of infrastructure between operators. He futher added, this move will also help the customers by bringing down the tariffs and wider network coverage areas.
Executive Vice-Chairman and Group CEO of IHS, Issam Darwish stated this presents an opportunity to expand business in East African for IHS, which currently leads the energy and infrastructure management market.
In the recent past, Airtel has also sold its 4,800 telecom towers to American Tower Corp in Nigeria at a price of US$1 billion. It has also divested its 3,500 telecom towers from its African operations to Eaton Towers. In July 2014, Bharti Airtel signed a deal with Helios Towers Africa to sell another four towers. Helios is a firm owned by a group of investors.