Nigeria clears MTN's $2.2bn IHS deal
Photo: MTN
MTN Group has won conditional approval from Nigeria's Federal Competition and Consumer Protection Commission for its $2.2 billion acquisition of the remaining stake in IHS Towers. The regulator has ordered MTN to sell down up to 30% of its stake in IHS Nigeria at market prices over time.
- IHS Nigeria operates nearly 16,000 telecom towers used by MTN Nigeria, Airtel and T2 Mobile.
- The wider IHS Towers transaction has an enterprise value of about $6.2 billion.
- MTN said it is comfortable with the conditions in its interim results for the six months to 30 June 2026.
The approval addresses a core competition worry. Full ownership of IHS Nigeria would have let MTN, already the dominant mobile operator, control tower infrastructure that rival networks depend on to function. The sell down condition allows the deal to proceed while limiting that risk, giving regulators a middle path between blocking the acquisition and allowing unchecked consolidation. For African telecoms markets watching how infrastructure ownership is regulated, the case sets a precedent for balancing operator investment against fair access for competitors.
The bigger picture
MTN will keep majority ownership of IHS Nigeria, preserving most of the strategic value of owning tower infrastructure that underpins mobile broadband and 5G rollout. Selling down up to 30% at market value could also let MTN recycle capital from a deal that spans roughly $6.2 billion in enterprise value across IHS Towers' broader footprint. MTN reported slower service revenue growth in the first half of 2026 but expects acceleration later in the year, helped by Nigerian airtime lending normalisation and a recovery in its South African prepaid business.
Source: TechCabal