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MTN and IHS Towers Strike a $6.2 Billion Merger Deal
MTN Group and IHS Towers have agreed to a major $6.2 billion merger deal. This agreement means MTN will take full control of IHS Towers, a leading tower infrastructure company. IHS Towers announced the proposed merger on Tuesday. The Board of Directors unanimously approved the deal and recommended it to shareholders.
Both MTN and Wendel, a long-term shareholder in IHS Towers, voted in support. This gives the deal more than the needed 40% shareholder backing to move forward. Once completed, IHS Towers’ shares will no longer trade publicly. It will become a wholly owned subsidiary of MTN.
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Sam Darwish, Chairman and CEO of IHS Towers, welcomed the news. He said the merger deepens the long-standing partnership with MTN and highlights the strong ties between IHS Towers and Africa. Darwish called it a powerful combination to boost digital infrastructure. “Today’s announcement creates a compelling opportunity that provides certainty and immediate returns for our shareholders,” he added. This lets them lock in the value created since the company’s strategic review began.
Weeks ago, MTN told investors it plans to buy the remaining 75% stake in IHS Holdings. The deal follows market rumors about MTN’s interest. IHS Towers operates about 40,000 tower sites worldwide. In Africa, these include Nigeria, South Africa, Cameroon, Côte d’Ivoire, and Zambia. It also has sites in Latin America, like Brazil and Colombia. These towers provide essential support for mobile networks in growing markets.
The deal is set to close in 2026, but it needs approval from shareholders and regulators. Funding comes from MTN’s current 24% stake in IHS Towers rolling over. MTN will add $1.1 billion in cash, and IHS Towers will use $1.1 billion from its balance sheet. Existing debt will roll over at no more than current levels. Other conditions include keeping at least $355 million in cash on the balance sheet at closing. IHS must also complete the sale of its Latin American towers, announced on February 17, 2026, and its fibre operations, announced on February 11, 2026. These sales are key to finishing the deal by year’s end.
Shareholders of IHS Towers will get $8.50 per ordinary share in cash. This is a 239% premium over the share price when the strategic review started on March 12, 2024. It is also a 36% premium to the 52-week volume-weighted average price as of February 4, 2026. Plus, it offers a 3% premium over the unaffected closing price of $8.23 on that date, when reports of MTN talks emerged. The deal lets shareholders cash out and secure gains from the company’s progress amid uncertainties.
For MTN, buying the full stake ends years of tower-outsourcing. It brings the infrastructure back under direct control. Ralph Mupita, MTN Group President and CEO, said the transaction offers a unique chance to reclaim its towers and strengthen ties. “It will boost MTN Group’s strategic and financial position in a digital infrastructure-driven future,” he noted. Mupita promised high service standards and good governance for IHS customers and partners across Africa. He praised IHS’s talented team, calling it the largest standalone and integrated tower company on the continent.
This merger could reshape telecom infrastructure in Africa by combining forces for better connectivity.
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