MTN Group announced on Thursday it has concluded an agreement to dispose of its 49% equity holdings in the Ghana and Uganda Tower Company investments to a subsidiary of American Tower Company for $523 million, approximately R7.3 billion.
This transaction is expected to close in Q1 2020, the company said in a statement.
The company added t that its Asset Realisation Programme (ARP) in March 2019 which aims to simplify its portfolio, reduce debt and risk, improve returns and realise proceeds of at least R15 billion over three years.
Following on the proceeds raised from the disposals of its stakes in Amadeus, Travelstart and the ATC loan of R2,1 billion earlier in the year MTN has now concluded two further transactions bringing the total proceeds from its ARP to R14 billion thus far.
Firstly, MTN has concluded an agreement to dispose of its 49% equity holdings in the Ghana and Uganda Tower Company investments to a subsidiary of American Tower Company for $523 million, approximately R7.3 billion.
Secondly, MTN confirms that MTN Nigeria has completed the redemption of its preference shares with MTN Group receiving, in December 2019, an amount of US$315 million (cR4,4 billion).
“Following the completion of these transactions, MTN will have realised proceeds of approximately R14 billion within the first 12 months of this program,” said Group CEO Rob Shuter.
“Realising proceeds from simplifying the group remains a major strategic objective and we expect further progress in this program in 2020.”
