MTN Group has announced a significant agreement to acquire IHS Towers, a move that will see the telecommunications giant regain direct ownership of telecom towers it had previously divested. This all-cash deal, valued at an enterprise value of approximately $6.2 billion, has received unanimous approval from IHS Towers’ Board of Directors and marks a dramatic twist in the business landscape.

Under the terms of the merger agreement, MTN Group will acquire the remaining 75.3 percent stake in IHS Holding Limited. IHS shareholders are set to receive $8.50 per ordinary share in cash. This price represents a substantial 36 percent premium to IHS’s 52-week volume-weighted average price and a modest three percent premium to its unaffected closing price of $8.23 on February 4, when initial reports of negotiations between the two parties surfaced. MTN, which already held roughly 24 percent of IHS on a fully diluted basis, has committed to vote its shares in favor of the deal. Long-term investor Wendel has also pledged support, bringing the total committed backing to more than 40 percent of shareholders. The acquisition will be funded through a combination of the rollover of MTN’s existing stake in IHS, approximately $1.1 billion in cash from MTN, roughly $1.1 billion from IHS’ balance sheet, and the rollover of existing IHS debt.

IHS Towers, originally founded in Nigeria in 2001, expanded to become one of the largest independent operators and developers of shared communication infrastructure globally, notably by acquiring telecoms towers previously built and operated by MTN Nigeria and other operators. MTN Group President and CEO, Ralph Mupita, emphasized that this transaction will strengthen the company’s strategic and financial position, offering a unique opportunity to buy back its towers. This move reverses a decade-long industry trend of outsourcing tower leasing, providing MTN with reduced long-term rental costs and greater flexibility for future 5G and fiber network rollouts. Mupita affirmed MTN’s commitment to maintaining high standards of service for IHS customers and partners across the continent. Sam Darwish, Chairman and CEO of IHS Towers, described the agreement as a compelling opportunity to crystallize the value built over the company’s 25-year history, deepening the long-standing partnership with MTN and underscoring the strong connection between IHS Towers and the African continent.

In response to this significant development, the Nigerian government, through Dr. Bosun Tijani, the Minister of Communications, Innovation and Digital Economy, announced that it would undertake a thorough assessment of the acquisition. Minister Tijani highlighted the critical importance of telecommunications infrastructure for national security, economic growth, financial services, innovation, and social inclusion. The government's review, to be conducted in collaboration with relevant regulatory authorities, aims to ensure that any market consolidation or structural changes align with Nigeria’s telecommunications development goals, protect consumers, safeguard investments, and preserve the long-term sustainability of the sector. Tijani noted that the administration of President Bola Tinubu has spent the past two years strengthening the telecom sector through policy clarity, regulatory support, and sustained engagement with industry stakeholders. These efforts have led to improved profitability, increased investment in telecoms infrastructure, and operational stability across the sector, reflecting the industry's resilience and the impact of government reforms. The government remains committed to fostering a stable, transparent, and forward-looking policy environment to ensure the Nigerian telecommunications industry remains strong and sustainable, in line with its broader digital economy vision.