IHS pens lucrative deal to tap into Egypt’s tower market
Egypt Digital Company for Investment, the largest shareholder in Egypt Towers for Technology Services Company, has signed an agreement with IHS Towers to establish a new consortium IHS Telecom Towers Egypt S.A.E and secure a licence from the National Telecom Regulatory Authority (NTRA) to erect and lease telecommunication towers in the country.
Once in place, IHS Towers will own 80% of the consortium and Egyptian Digital Company Investment will own the remaining 20% shares.
The new consortium is looking to complete the licencing process in October 2021.
According to the Country’s Ministry of Communications and Information Technology, the partnership aims to meet the needs of Egyptian market in terms of wireless telecommunications towers, help achieve the national coverage plan and construct new towers in accordance with the work plan and the relevant licence requirements.
The Ministry said under the licence, up to 5, 800 towers will be built during the first three years of the licence term, adding that the permit also provides the possibility of acquiring wireless telecommunications towers owned by third parties for the purpose of utilising them to provide the services as specified by the licence.
Sam Darwish, Chairman and Group CEO, IHS Towers said, “I’m delighted to announce IHS Towers’ partnership with the Egypt Digital Company for Investment to enter the Egyptian telecommunications market. IHS Towers is committed to delivering critical telecommunications infrastructure to the emerging markets and this partnership is an exciting development as we continue to pursue our strategic growth ambitions. With an establishment in five Africa markets, and two decade experience operating on the continent, I’m confident in our ability to support the rapidly developing Egyptian telecommunications market. By partnering with the Egyptian Digital Company for Investment, we intend to leverage their extensive market knowledge and capitalize on our innovative operating capabilities to facilitate a broad range of telecommunications solutions in Egypt.”
As of 30 June 2021, IHS is understood to have established over 30, 200 towers across nine markets.