MTN Group to Acquire 75% IHS Towers Stake in $2.76B Deal

MTN Group is in advanced negotiations to acquire the remaining 75 per cent stake in IHS Towers, a transaction that would value the pan-African tower infrastructure company at approximately $2.76 billion. The potential deal, reported by Reuters, would see the continent’s largest mobile network operator purchase the shares it does not already own from the company listed on both the New York and Frankfurt stock exchanges.

The discussions are based on IHS’s most recent closing price, which gave the firm a market capitalisation of about $2.76bn. MTN’s current roughly 25 per cent holding originates from a landmark 2014 transaction, where it sold the majority of its tower assets across several African markets to IHS. That sale-and-leaseback agreement has underpinned a long-standing commercial partnership, with MTN remaining IHS’s largest customer in countries including Nigeria.

A completed acquisition would represent a significant strategic pivot for MTN. Gaining full control of its tower infrastructure is seen as a move to enhance network efficiency, manage long-term capital expenditure, and reduce reliance on third-party providers. The telco emphasised that recent contract renewals with IHS, securing access to infrastructure into the next decade, already place its operations on a “more sustainable footing.” A full takeover would deepen that operational control.

MTN stated that any offer would align with IHS’s prevailing market valuation. However, the company also noted that discussions are ongoing and no binding agreement has been reached. Should the negotiations fail, MTN indicated it would explore alternative methods to unlock value from its existing shareholding, consistent with its broader capital allocation framework.

Both entities maintain a substantial joint presence in Nigeria and across Africa, highlighting the strategic importance of the talks. For IHS, a sale to its largest customer would resolve a complex ownership structure. For MTN, it would consolidate critical infrastructure assets at a time of surging data demand. The outcome of the talks is expected to significantly influence the capital and operational strategies of both companies in their key African markets.