MTN Seeks 75% Stake in IHS Towers in Landmark Telecom Move

MTN Group has formally approached the Johannesburg Stock Exchange (JSE) for approval to acquire a controlling stake in IHS Towers, a move that could transform the telecommunications landscape across emerging markets.

If completed, the acquisition would mark one of the largest infrastructure consolidations in African telecom history, positioning MTN not just as a tenant but as a dominant owner of the continent’s digital backbone.

The Deal Structure
A formal disclosure to investors on Thursday, 5 February 2026, revealed that MTN is in advanced talks to acquire a 75% equity stake in IHS Towers.

While discussions are progressing, MTN emphasised caution:

• No definitive agreement has been signed.

• Shareholder advisory: MTN warned that the transaction is not guaranteed and could significantly affect the company’s share price. Investors are urged to remain cautious until further updates are provided.

From Startup to Infrastructure Powerhouse
Founded in Nigeria in 2001, IHS Towers has grown into a global telecommunications infrastructure leader:

• Global footprint: Operates around 40,000 towers across Africa, Latin America, and the Middle East.

• Financial health: Listed on the New York Stock Exchange (NYSE), with a market capitalisation of $2.76 billion and shares trading at $8.23.

• Market concentration: Nigeria remains its core market, contributing nearly 59% of total revenue as of Q3 2025.

Strategic Rationale: MTN’s Shift in Vision
The deal represents a strategic pivot from the long-standing “asset-light” model, in which mobile network operators sold towers to independent firms like IHS and leased space through co-location agreements. For MTN, the acquisition signals a move towards full vertical integration.

1. Vertical Integration and Control
   Owning its infrastructure directly allows MTN greater control over network rollouts, maintenance, and upgrades, reducing reliance on third-party providers.

2. Cost Optimisation
   While the initial acquisition is substantial, eliminating long-term lease payments could significantly reduce operational expenses over time.

3. Consolidating the Nigerian Stronghold
   Nigeria is MTN’s most critical market. By acquiring IHS, the group would control both the service layer (mobile and data) and the physical tower infrastructure, consolidating its dominance.

Strengthening the Competitive Edge
Beyond cost savings, controlling towers used by competitors gives MTN a strategic advantage across its multinational footprint, enhancing its market leverage and long-term positioning.