MTN Group, Africa’s largest mobile network operator, is in advanced negotiations to acquire the remaining 75 percent stake in IHS Towers, a move that could value the telecom infrastructure firm at about $2.76bn and reshape the region’s mobile network landscape.
Reuters reported on Thursday that MTN is discussing the purchase of the portion of IHS Holdings it does not currently own, following years of close commercial and shareholder ties between both companies. Based on IHS’s latest closing price on the New York Stock Exchange, the potential transaction places the company’s valuation at approximately $2.76bn.
MTN’s existing 25 percent stake in IHS Towers dates back to 2014, when the telecoms group sold most of its tower assets across several African markets to IHS in a landmark infrastructure deal. Since then, IHS has remained a critical partner, providing tower infrastructure that supports MTN’s mobile operations in key markets, including Nigeria.
Commenting on the company’s long-term infrastructure strategy, MTN Group President and Chief Executive Officer, Ralph Mupita, had said in a 2024 statement that the renewal of contracts across MTN’s operating markets had strengthened the sustainability of its operations into the next decade. He noted that the group remains focused on ensuring its networks are well invested, highly available, and capable of meeting rising and long-term demand for data services.
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MTN said any potential offer for IHS would align with the tower company’s most recent market valuation. The telco added that discussions are still ongoing and that no binding agreement has been reached at this stage.
IHS Holdings, which is listed on both the New York and Frankfurt stock exchanges, saw its US-listed shares close lower on Wednesday, giving the company a market capitalisation of about $2.76bn, according to market data.
If completed, the acquisition would represent a strategic shift for MTN, giving it greater control over infrastructure assets that are central to the operation, expansion and efficiency of its mobile networks across Africa. Analysts say increased ownership of tower infrastructure could help MTN manage operating costs, improve network performance and reduce long-term dependence on third-party providers.
MTN noted that if the negotiations do not result in a deal, it would explore alternative options to unlock value from its existing stake in IHS Towers, in line with its capital allocation framework.
Both MTN and IHS have a strong presence in Nigeria and maintain a long-standing commercial relationship, with MTN remaining IHS Towers’ largest customer in several African markets. The talks also underscore the strategic importance of IHS to MTN’s broader growth and infrastructure plans.
