Africa’s largest mobile carrier, MTN Group said it is selling off its tower business in Ghana and Uganda. The move is part of its plans to focus on high-growth markets on the continent and in the Middle East.
Johannesburg-based MTN Group said it agreed to sell its 49% holdings in Ghana Tower Interco B.V. and Uganda Tower Interco B.V. to AT Sher Netherlands Coöperatief U.A. for $523 million.
The company said the sale is expected to close in Q1 2020 leaving MTN with a profit of 6 billion rand ($425.74 million).
MTN also said it had finalized the redemption of MTN Nigeria preference shares, raising $315 million. The South African company said it plans to use the proceeds to pay down its U.S. dollar-denominated debt and for general corporate purposes.
“We remain focused on continuing to execute on the important strategic priorities of reducing debt, simplifying the portfolio and reducing risk,” the firm said in a statement.
MTN Group said it is aiming to shed loss-making e-commerce assets and exit countries where it has no prospect of reaching the top-two spots in terms of market share.