Home Business MTN Group Agrees to Sell Guinea-Bissau and Guinea-Conakry Interests to Telecel
BusinessFinanceTechnology

MTN Group Agrees to Sell Guinea-Bissau and Guinea-Conakry Interests to Telecel

792

MTN Group, Africa’s leading network operator by subscriber base, has agreed to an undisclosed offer from Telecel, a telecommunications service focused on Africa, for the sale of its equity interests in MTN Guinea-Bissau and Guinea-Conakry. This strategic move is part of MTN’s broader strategy to exit smaller markets in the West and Central Africa (WECA) region, as revealed in its 2023 financial report.

While confirming the sale, a spokesperson for MTN declined to disclose the transaction’s financial terms. However, MTN disclosed in its financials that its Guinea-Bissau and Guinea-Conakry businesses were classified as held for sale as of December 31, 2023.

According to MTN, Telecel, an established telecoms operator with a strong presence across Africa, is well-positioned to drive growth and development in these markets, contributing to technological advancement and economic progress.

This decision will enable MTN to concentrate its resources on key markets such as Ghana, Cameroon, and Cote d’Ivoire, which collectively contribute 18.6% to the group’s revenue in the West and Central Africa region. This strategic focus on stronger markets contrasts with other West and Central African countries that contribute only 7.3% to the firm’s revenue.

MTN Guinea-Bissau experienced financial difficulties, including breaching a loan covenant due to negative EBITDA performance. As a result, the process of converting MTN Guinea-Bissau’s financial results into its primary currency resulted in a loss of R1.69 billion ($89,392,809), according to the company’s annual report.

Read: There is no cause for alarm – Gumi

About The Author

Written by
Ikenna Churchill

Culture storyteller

Related Articles

FinanceNewsWorld

Niger’s Prime Minister Attends WAEMU Ministerial Meeting in Dakar as Burkina Faso Takes Over Council Presidency

Niger’s Prime Minister and Minister of Economy and Finance, Ali Mahamane Lamine...

FinanceTravelWorld

AES and Togo Discuss Customs Reform and Regional Trade Integration

The member states of the Alliance of Sahel States (AES), Mali, Burkina...

Cooking Gas Kerosene Prices Increase
BusinessNews

Tinubu Regime Causes More Pain For Nigerians As Cooking Gas Prices Soar 40% In One Week

The price of refilling a 12.5kg cylinder of Liquefied Petroleum Gas (LPG),...

NewsTechnology

Niger Secures Seat On International Atomic Energy Agency Board Of Governors For 2 Term

Niger has been elected to the Board of Governors of the International...