MTN Group, Africa’s largest mobile network operator by subscribers, is in advanced discussions to acquire the remaining 75 per cent stake in IHS Towers, a transaction that could value the telecom infrastructure company at approximately $2.76 billion, according to market estimates.
A report published by Reuters on Thursday said the Johannesburg-listed telecoms group is negotiating the purchase of the shares in IHS Holdings that it does not already own. MTN currently holds about 25 per cent of the tower company, a stake it retained following a landmark asset sale over a decade ago.
Based on IHS Towers’ most recent closing price on the New York Stock Exchange, the potential buyout would imply a valuation of roughly $2.76 billion for the entire company.
MTN’s existing interest in IHS dates back to 2014, when the group sold the bulk of its tower infrastructure across several African markets to IHS as part of a major strategy to unlock capital and shift toward a shared-infrastructure model. Since then, IHS has grown into one of the continent’s largest independent tower operators, with MTN as its single biggest customer.
Commenting previously on the commercial relationship, MTN Group President and Chief Executive Officer Ralph Mupita said the renewal of long-term contracts across MTN’s operating markets had helped place the company on a more sustainable operational footing.
“The renewal of the various contracts across our markets into the next decade put MTN operations in the respective markets onto a more sustainable footing,” Mupita said in a 2024 statement.
“We remain focused on ensuring our networks are well invested, have high availability, and have the headroom to meet the growing and structural demand for data going into the future.”
He added that the company looked forward to resolving outstanding governance matters with IHS following the conclusion of commercial agreements.
MTN said any potential acquisition would be aligned with IHS’s prevailing market valuation, stressing that discussions remain ongoing and that no binding agreement has yet been reached.
IHS Holdings, which maintains listings in New York and Frankfurt, saw its U.S.-listed shares close lower on Wednesday, leaving its market capitalisation broadly in line with the reported deal valuation.
If completed, the transaction would represent a strategic shift for MTN, giving it increased ownership and control over tower assets that are critical to the rollout, performance, and expansion of its mobile networks across Africa.
Greater control over infrastructure could also allow MTN to better manage operating costs, improve network efficiency, and reduce long-term reliance on third-party providers — particularly in high-growth markets such as Nigeria, where both companies maintain a significant presence.
MTN noted that if the negotiations do not lead to a transaction, the group would explore alternative options to unlock value from its existing stake in IHS, while remaining within its established capital allocation framework.
Both companies have maintained a long-standing commercial partnership, underscoring the strategic importance of the talks for Africa’s evolving telecom infrastructure landscape.
