Telecommunications giant, MTN, has accepted an undisclosed offer from Telecel, an Africa-focused telecommunications service provider, to acquire MTN’s equity stakes in MTN Guinea-Bissau and MTN Guinea-Conakry.
The MTN group has its sights set on exiting smaller markets in the West and Central Africa (WECA) region and concentrating on the ones with higher growth promise.
MTN revealed this development in its 2023 financials where it hinted at its potential exit from Guinea-Bissau, Guinea-Conakry and Liberia where it controls a huge chunk of the market share.
In the report, MTN disclosed that its Guinea-Bissau and Guinea-Conakry businesses have been designated as held for sale as of December 31, 2023.
“Telecel, an established telecoms operator with a significant presence in Africa, is well positioned to drive the growth and further development of these operations and contribute to technological and economic progress in these markets.
“As we advance through this transition, MTN is focused on ensuring a smooth and seamless transition for our customers, employees and all other stakeholders,” the financials read.
This development will enable MTN to prioritize and improve its operations in stronger markets such as Ghana, Cameroon, Nigeria and Cote d’Ivoire which collectively contribute 18.6% to the group’s revenue, over other West and Central African (WECA) countries that contribute 7.3% to the firm.