MTN Group, Africa’s largest mobile network operator, is in advanced discussions to acquire the remaining approximately 75 percent stake in IHS Holding Limited (IHS Towers) that it does not already own, potentially giving the South African company full control of one of the world’s leading independent tower infrastructure firms.
In a cautious statement to investors on Thursday, MTN confirmed it is exploring a transaction to purchase the remaining shares in the New York Stock Exchange-listed IHS, amid recent market speculation. The potential offer price would be near the last trading price of IHS shares on February 4, 2025, a period during which the stock experienced a sharp rise, reflecting renewed investor confidence.
MTN stressed that no binding agreement has been reached and there is no certainty the deal will proceed. The company advised shareholders to exercise caution in trading until further updates are provided, noting that a completed transaction could materially affect MTN’s share price.
MTN already holds a significant stake in IHS and maintains an extensive operational partnership across multiple African markets. Over the past decade, MTN sold thousands of passive network sites to IHS through sale-and-leaseback agreements, including a major 2022 transaction in South Africa involving over 5,700 towers. These deals allowed MTN to free up capital while securing long-term tower access via master lease agreements.
A full buyout would represent a strategic shift for MTN, effectively bringing tower infrastructure back in-house after years of outsourcing to specialised operators like IHS. MTN has previously raised concerns about corporate governance at IHS, underscoring its cautious approach to the potential acquisition.
If the deal does not materialize, MTN said it will continue to explore options to unlock value from its IHS investment, in line with its disciplined capital allocation strategy.
Background on IHS Towers
Founded in 2001 by Sam Darwish in Nigeria, IHS Towers has grown into one of the world’s largest independent owners, operators, and developers of shared telecommunications infrastructure. Headquartered in London and listed on the NYSE since its 2021 IPO, IHS manages over 37,000 towers across seven African and Latin American markets, including Nigeria, South Africa, Cameroon, Côte d’Ivoire, Zambia, Brazil, and Colombia.
IHS serves as a critical backbone for mobile connectivity in emerging markets, with MTN as its largest customer. The company is the leading independent tower operator in several key markets, providing colocation services and supporting mobile network expansion amid rising demand for digital connectivity.
The potential acquisition highlights evolving dynamics in Africa’s telecom infrastructure sector, as operators weigh the benefits of owning versus leasing essential assets in response to rising data demand and economic pressures.
Further updates are expected as MTN’s discussions with IHS progress.
