MTN Acquires IHS Towers in $6.2bn Deal, Regains Its Initial Towers

Emma Okonji

In a dramatic business twist, MTN has regained its old telecoms towers it initially sold to IHS Towers, as MTN Group, yesterday, reached an agreement to acquire IHS Towers, the largest independent towers, operators, and developers of shared communication infrastructure globally, at an enterprise value of approximately $6.2 billion.

The deal followed weeks of negotiation between both parties, which was eventually concluded yesterday.

IHS Towers’ Board of Directors unanimously approved the transaction and recommended it to shareholders.

Founded in Nigeria in 2001, IHS Towers grew to become one of the largest tower operators globally, after purchasing telecoms towers hitherto built and operated by MTN Nigeria and other telecoms operators in Nigeria.

Chairman and CEO of IHS Towers, Sam Darwish, described the agreement as a compelling opportunity to crystallise value built over the company’s 25-year history.

According to Darwish, “The acquisition announcement creates a compelling opportunity that provides certainty and immediate returns for our shareholders, enabling them to crystallise the significant value generated during our strategic review.

“The transaction deepens our long-standing partnership with MTN, as it combines Africa’s largest mobile network operator with one of its largest digital infrastructure platforms, and underscores the strong connection between IHS Towers and the African continent.”

MTN’s Group President and CEO, Ralph Mupita, said the transaction would strengthen the company’s strategic and financial position as digital infrastructure became increasingly central to economic development on the continent.

Mupita stated, “The transaction gives us a unique opportunity to buy back our towers and strengthen our ability to be partners for progress to the nation-states in which we operate.

“For IHS customers and partners across the continent, we commit to continuing high standards of service and the right governance of what is the largest standalone and integrated tower company in Africa, enabled by the excellent people within HIS.”

Under the terms of the merger agreement, IHS shareholders will receive $8.50 per ordinary share in cash, representing a 36 per cent premium to its 52-week volume-weighted average price, and a modest three per cent premium to its unaffected closing price of $8.23 on February 4, 2026.

MTN, which already held roughly 24 per cent of IHS on a fully diluted basis, committed to vote its shares in favour of the deal. Long-term investor Wendel also pledged support, bringing total committed backing to more than 40 per cent of shareholders.

MTN, Africa’s biggest mobile operator, will pay $8.50 per share in cash. The deal will be funded through the rollover of MTN’s existing stake of around 24 per cent in IHS, as well as about $1.1 billion in cash from MTN, roughly $1.1 billion from IHS’ balance sheet, and the rollover of no more than existing IHS debt, the tower operator said in a statement.

With the deal, South Africa-based MTN returns to direct ownership of thousands of towers it originally built and later sold to IHS, reversing a decade long shift across the industry towards outsourced tower leasing.

Regaining control of the assets will cut long term rental costs for MTN and give the operator greater flexibility over future 5G and fibre rollout.

The offer price represented a 36 per cent premium to the 52 week volume weighted average price of IHS’ stock and a three per cent premium over its February 4 closing price, when reports surfaced that talks with MTN were under way, the company said.