Zain Group, a telecom operator in the Middle East and Africa, has signed a definitive agreement to acquire IHS Holding Limited's 70 percent stake in IHS Kuwait Limited. This acquisition will increase Zain's ownership in the independent tower company to 100 percent, giving it complete ownership.
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Key Details of the Acquisition Agreement
Under the terms of the transaction, Zain has agreed to increase its 30 percent ownership of IHS Kuwait Limited to 100 percent, at an equity value for the remaining 70 percent stake of USD 134 million. IHS Kuwait Limited will continue to provide independent tower infrastructure services within the Kuwait market, Zain Group said in a statement on Monday.
IHS Kuwait Limited owns 1,675 telecom sites and manages around 700 more, providing critical tower infrastructure services in the Kuwaiti market.
According to the official release, the deal, subject to regulatory approval, complements Zain's ongoing agreement with Ooredoo to merge and manage 30,000 towers across the MENA region. Advisors to Zain included FTI Capital Advisors, PwC, and DLA Piper.
Importance of the Deal for Zain
Commenting on the transaction, Zain Vice-Chairman and Group CEO said, "This agreement will enhance Zain's Digital Infrastructure regional expansion strategy in creating capital efficiencies and driving shareholder value. It will also complement our ground-breaking deal with Ooredoo to acquire and merge approximately 30,000 towers. The aim of our sustainable and independent operating model is to provide passive infrastructure as a service, supporting the reduction of MENA's carbon footprint and empowering the region's digital future."
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Zain Group
Zain operates as a telecommunications provider across the Middle East and Africa, serving 47.2 million active customers as of September 30, 2024. With a commercial presence in eight countries, Zain offers mobile voice and data services in Kuwait, Bahrain, Iraq, Jordan, Saudi Arabia, Sudan, and South Sudan. In Morocco, Zain holds a 15.5 percent stake in INWI through a joint venture.
