MTN Group has triggered a structural shift in Africa’s telecoms sector by agreeing to acquire the remaining IHS Holding stake in a transaction valuing the tower giant at $6.2bn.
The multibillion-dollar deal effectively reverses years of tower outsourcing and brings critical infrastructure back under the giant telco’s ownership.
Under the agreement announced late yesterday, MTN will pay $8.50 per share in cash for the 75% holding of the mobile infrastructure company it does not already own. MTN currently holds about 24.7%.
The funding structure blends the rollover of MTN’s existing equity, approximately $1.1 billion in cash from MTN, and roughly $1.1 billion from IHS’s own balance sheet, alongside existing debt, with no new equity issuance required at MTN level.
The deal is supported by IHS’s board and key shareholders, including long-term investor Wendel, which has issued a letter of support for the transaction and has committed to vote in favour.
“This proposed transaction is a pivotal step in strengthening MTN’s strategic and financial position for a future where digital infrastructure will become ever more essential to Africa’s growth,” said Ralph Mupita, MTN Group president and CEO. “This gives us a unique opportunity to buy back our towers and deepen our role as partners for progress across the continent.”
IHS, one of the world’s largest independent tower companies, operates nearly 29,000 towers in Africa, serving multiple mobile operators in five major MTN markets. Its origins are closely tied to Africa’s rapid mobile expansion, including a long-standing partnership with the giant telco that saw towers carved out during an industry push toward asset-light models.
IHS chairman and CEO Sam Darwish has lauded the merger as a reflection of a shared history. “This deepens our partnership with MTN and combines Africa’s largest mobile operator with one of its most significant digital infrastructure platforms,” he said.
Strategically, the reintegration allows MTN to internalise tower lease margins, stabilise long-term operating costs, and unlock third-party revenue opportunities.
It further strengthens MTN’s infrastructure control at a time when Africa’s data demand, 5G rollouts, and rural connectivity expansion require tighter coordination between networks and physical assets.
For Africa, the move signals renewed confidence in infrastructure ownership as a lever for growth, positioning the continent’s number one telecoms operator to accelerate growth, invest more efficiently, and anchor its next phase of digital expansion.
The transaction, however, remains subject to shareholder and regulatory approvals and would result in IHS being delisted following completion.
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