MTN in advanced talks to buy IHS Towers stake in $2.76bn deal

By Chinenye Anuforo

MTN Group has disclosed that it is in advanced negotiations to acquire the remaining stake in IHS Towers that it does not already own, in a transaction estimated at about $2.76 billion.

The company confirmed in a regulatory disclosure that discussions are ongoing with IHS Holdings regarding a potential buyout of the majority shareholding. The proposed valuation is broadly aligned with IHS’s recent market capitalisation on the New York Stock Exchange.

However, MTN noted that no binding agreement has been reached and advised shareholders to exercise caution, as the outcome of the talks could materially affect the group’s financial position.

If concluded, the transaction would mark a strategic shift for MTN. Over the past decade, the telecoms giant adopted an asset-light model, selling tower infrastructure to specialised operators and leasing capacity back to support network expansion. A full or majority acquisition of IHS would signal a move towards regaining direct control of critical passive infrastructure that underpins service delivery and long-term network efficiency.

MTN remains one of IHS’s largest customers and shareholders, reflecting a longstanding commercial relationship between both firms. IHS Towers, founded in Nigeria, has grown into one of the world’s largest independent owners and operators of telecommunications towers, with operations spanning Africa, Latin America and the Middle East.

Industry analysts say increased ownership of tower assets could improve MTN’s operational efficiency, reduce long-term leasing costs and strengthen its leverage in future network rollouts. Nonetheless, MTN indicated that should negotiations fail to produce an agreement, it would consider alternative strategies to unlock value from its existing investment while remaining within its capital allocation framework.

The development has drawn investor attention in global markets, with movements in IHS’s listed shares reflecting uncertainty over the structure and implications of the proposed deal. Further updates are expected as discussions progress and regulatory considerations become clearer.