Ghana’s has confirmed advanced plans to merge AirtelTigo (AT) with Ghana Telecel in a bid to create a stronger and more sustainable telecom operator.
The integration, which is expected to take up to 120 days, will cost about $600 million over four years, funded through government spectrum sales and co-investment from Telecel and other partners.
The minister of Communication, digital Technology and Innovations, Samuel Nartey George, said the merger was necessitated by AT Ghana’s financial troubles. He underlined that the telco has racked up more than $10 million in losses within just eight months this year, with the state forced to bail it out.
“These losses are funded by taxpayers. That is money that should be building roads, water systems, and schools. We cannot keep pouring public funds into unsustainable operations,” said George.
Presently, AT Ghana serves 3.2 million subscribers, while Telecel Ghana has a subscriber base of 7.5 million. Both operators have, however, been weighed down by vendor debts and declining market share in a fiercely competitive telecoms sector dominated by MTN. By merging, the government hopes to cut duplication, lower operating costs, and build a more resilient challenger brand.
At a tense staff meeting in Accra yesterday, the minister moved to reassure AT employees that all 300 permanent staff will be retained. “This is not a re-application process. It is a continuation of your contracts. Every one of you will be absorbed, unless you personally choose to leave,” he said.
According to the government, the integration will roll out in three phases. The technical migration is already 98% complete with national roaming in place. It will be followed by human resource alignment, which will ensure staff absorption by the end of this month and wrap up with commercial restructuring, expected to get underway within 120 days to define the merged entity’s market strategy.
“It makes no sense for two networks to operate separately on the same tower, paying twice while both struggle. A merger is the smart and sustainable choice,” George said.
The government currently owns 100% of AT Ghana and a 30% stake in Telecel Ghana. Geroge believes that once completed, the merger will give customers improved service quality, better prices, and a stronger second operator to balance the market.
Share
