IHS Towers has announced a definitive agreement to sell its 70% stake in IHS Kuwait Limited (“IHS Kuwait”) to Zain Group, Kuwait’s leading mobile network operator. The deal includes approximately 1,675 sites and an additional 700 managed sites in Kuwait.
The transaction, valued at an enterprise worth $230 million, reflects a transaction multiple of 14.2x based on the estimated Adjusted EBITDA for IHS Kuwait after leases. This valuation represents a notable premium compared to the current group valuation multiple of IHS Towers. Subject to customary closing conditions, including government and regulatory approvals, the deal is expected to be finalized in the first half of 2025.
This move aligns with IHS Towers’ broader strategy of optimizing shareholder value. Proceeds from the transaction will primarily be directed towards reducing the company’s debt, enhancing financial stability, and strengthening its balance sheet.
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Commenting on the agreement, Sam Darwish, Chairman and CEO of IHS Towers, stated, “Today’s announcement forms part of our wider ambition to drive shareholder value and enhance our balance sheet. The transfer of IHS Kuwait to Zain, the largest mobile network operator in Kuwait, not only highlights the significant value contained within our portfolio but will also allow us to further reduce our net leverage.”
The sale is part of IHS Towers’ ongoing strategic review, which seeks to explore and execute shareholder value-creation opportunities. The agreement underscores the robust demand for shared communications infrastructure and the value embedded in IHS’ regional assets.
