MTN Group,
Africa's foremost mobile network provider, has made a strategic decision to
exit the smaller West-East Central Africa (WECA) markets by divesting its
equity interests in MTN Guinea-Bissau and MTN Guinea-Conakry to Telecel, a
well-established telecoms operator with a presence across Africa.
This move,
disclosed in MTN's latest 2023 annual financial report, signifies a shift in
focus towards core markets and growth opportunities for the telecommunications
giant.
In line
with this decision, MTN Group has entered into a share purchase agreement with
Telecel for the acquisition of its equity interests in MTN Guinea-Bissau and
MTN Guinea-Conakry.
“Telecel,
an established telecoms operator with a significant presence in Africa, is well
positioned to drive the growth and further development of these operations and
contribute to technological and economic progress in these markets,”
the report acknowledged.
Although
the agreement was reached in December 2023, its execution is subject to several
conditions precedent, as outlined in the report. MTN Group is committed to
ensuring a smooth and seamless transition for its customers, employees, and all
stakeholders throughout this process.
“As
we advance through this transition, MTN is focused on ensuring a smooth and
seamless transition for our customers, employees and all other stakeholders,” the
report said.
The decision to divest its equity interests in
MTN Guinea-Bissau and MTN Guinea-Conakry to Telecel not only marks a shift towards
optimizing the group’s portfolio but also underlines a strategic realignment
towards stronger markets in the West and Central Africa (WECA) region. This
move, no doubt allows MTN to concentrate its resources and efforts on key
markets such as Ghana, Cameroon, and Cote d'Ivoire, which collectively
contribute 18.6% to the group's revenue.
By: Nana Appiah Acquaye
