MTN Group has announced the successful sale of its subsidiary in Guinea-Bissau, Spacetel Guinea-Bissau S.A. (MTN Guinea-Bissau), to Telecel Group Mobile Limited.
The transaction, completed after securing all necessary regulatory approvals, aligns with MTN’s strategy to streamline its operations and concentrate on core markets within Africa.
In a statement, MTN emphasized its commitment to ensuring a smooth ownership transition, stating that the transfer is in the best interests of MTN Guinea-Bissau, its stakeholders, and the broader telecommunications sector in Guinea-Bissau.
This sale is part of MTN’s plan to exit smaller West African markets. Earlier this year, MTN Group CEO Ralph Mupita informed shareholders of the company’s intent to focus on larger markets across Africa, following its complete exit from the Middle East with the sale of MTN Afghanistan. The divestment of MTN Guinea-Bissau is a key component of this strategy.
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Additionally, MTN has renegotiated agreements related to its operations in Nigeria. These new terms include an energy cost component linked to the cost of providing diesel power, alongside discounts and incentives to support margin recovery and resolve its negative equity position.
Moreover, MTN Nigeria, IHS Nigeria, and ATC Nigeria have reached an agreement on the distribution of approximately 2,500 telecom sites, further optimizing MTN’s operational footprint in the region.
