Following the successful merger of Airtel and Tigo in Ghana, Bharti Airtel and Millicom International Cellular SA have extended their partnership to Rwanda where Airtel has reached an agreement with Millicom to acquire 100% of Tigo Rwanda.
The latest step in Millicom's exit strategy in Africa is gaining momentum, despite several setbacks with the planned sale in Senegal.
Going forward, Millicom plans to focus on Latin American that it considers to be more buoyant.
While Airtel is already operating in Rwanda, the company believes the move to acquire Tigo will help consolidate the local market and elevate its position.
Sunil Bharti Mittal, President of Bharti Airtel, said, "These measures will consolidate and reorganise the market structure in the remaining countries where its activities are lagging behind due to declining market shares and the presence of too many operators."
" Airtel and Tigo have already merged their operations to create a strong and viable entity in Ghana. Today, a new milestone has been reached to acquire Tigo Rwanda to become a profitable and strong challenger in a two-player market. We are also committed to ensuring the long-term viability of our operations in two other countries, Kenya and Tanzania, to ensure that by 2018, all of our operations in Africa begin to generate positive margins and cash flows."
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