About $1.25 billion has been raised from six global investors by Airtel Africa Limited, a subsidiary of India’s Bharti Airtel Ltd.
Among them are SoftBank Group Corp, Warburg Pincus LLC and Temasek Holdings (Private) Limited.
Also at the same platform on Wednesday in Lagos, the telco said it now has the widest 4G network coverage in the country.
The $1.25billion cash, sourced through a primary equity issuance, now values the telco at $4.4 billion and will be used to reduce existing debt of about $5 billion and grow its Africa operations, Airtel Africa said.
“The transaction will help us further deleverage our balance sheet and boost our capacity to upgrade networks, expand coverage in different markets and achieve rapid growth of Airtel Money across our operations,” Chief Executive of Bharti Airtel’s Africa Unit, Raghunath Mandava, said in a statement.
Speaking at the Wheatbaker Hotel, Ikoyi, Lagos during the formal unveiling of 4G, the Chief Executive Officer and Managing Director of Airtel Nigeria, Mr. Segun Ogunsanya, said the telco has launched its 4G network in over 60 major cities and towns across many states of the federation.
He said: “Airtel’s 4G network is now in over 60 major cities and towns in Nigeria across different states, making Airtel the network with the widest and largest 4G coverage in the country.”
He said the 4G launch in Lagos served as a glowing testimony of the firm’s commitment to partner and empower the good people of Lagos.
Ogunsanya said: “We know Lagos has its own spirit – a can-do spirit and it also has its own peculiar energy, which is very fast-paced.
“The good news is that Airtel 4G will help everyone in Lagos to do more and achieve more, regardless of status and location.
“With fast mobile internet, a young professional will be able to use his map to understand the traffic network, plan and connect with the right people. The tailor will be able to take measurement through video calls; the fish seller will be able to share photos and short videos of his current stock. Ditto every other person.
“Indeed, 4G comes with tons of benefits and the possibilities are endless: it will accelerate economic and commercial activities; it will boost personal and professional productivity; it will help in creating more entrepreneurs; it will offer the youth a big leverage to express their creativity and talent; it will improve the overall quality of life and connect more people to their dreams.”
Early this year, Airtel began an interesting journey of building the largest and most robust 4G – LTE (Fourth Generation – Long Term Evolution) network in Nigeria.
On the 13th of February, 2018, the telco recorded a major milestone with the pioneer roll-out of its 4G network in Ibadan to the delight of many Nigerians who live in the ancient city.
Since the pioneer launch, Airtel had not looked back. On Thursday, 4th May, 2018, it unveiled its 4G service in Abuja, the nation’s capital while on the 19th and 25th of September, it announced the launch of its 4G service in major towns and cities in Anambra and Delta states.
Airtel CEO, Mr. Ogunsanya and the Executive Governor of Rivers State, His Excellency, Nyesom Wike, on the 27th of September, formally unveiled the Airtel 4G service in Port Harcourt.
Faced with a price war in India since the market entry of Reliance Jio in 2016, Airtel, like its peers, has been trying to shed debt and aggressively win customers.
Bharti Airtel has chosen UBS Group AG, JPMorgan Chase & Co and Citigroup Inc to coordinate the London initial public offering of its Africa business, Reuters reported in September, citing two people familiar with the matter.
On Wednesday, Airtel Africa said it aimed to go public on an international stock exchange in a deal whose proceeds would also be used to reduce debt.
Airtel operates in 14 African markets including Democratic Republic of the Congo, Kenya, Nigeria, Rwanda, Seychelles, Uganda and Zambia.
The continent accounted for over a quarter of Bharti Airtel’s June-quarter revenue of about 201 billion rupees ($2.74 billion). The telecom firm is set to report earnings for its quarter ended September on Thursday.
“Airtel Africa has seen a turnaround of its business in recent years,” the company said on Wednesday.
“This investment demonstrates the confidence of leading global investors in the company’s ongoing robust growth and profitability.”
Credit: thenationonlineng.net
