14 April 2021
Airtel Africa, a subsidiary of Bharti Airtel, has sold 1,424 telecom towers in Madagascar and Malawi to Helios Towers for around $119 million.
The former’s subsidiaries will continue to develop, maintain and operate their equipment on the towers under separate lease arrangements, largely made in local currencies, with the purchaser.
“In addition, the Group has agreed to build to suit commitments with the purchaser for an additional 195 sites across Madagascar and Malawi over the three years following completion, for which a further US$11m of consideration is payable,” Airtel said. “With these latest tower transactions we continue to demonstrate strong execution of our asset monetisation program.”
The transactions will also help to improve the mix of its debt and increase its tenor through long term leases, which are largely payable in local currency by our operating entities, while reducing foreign currency debt of the group, according to Raghunath Mandava, chief executive officer, Airtel Africa.