MTN Sells R14bn Assets In 9 Months
MTN said it has sold assets worth R14 billion in 2019.The sales come as part of MTN’s Asset Realisation Programme (ARP), which it announced in March 2019.
MTN said the ARP is aimed at simplifying its portfolio, reducing its debt and risk, improving returns, and realising proceeds of at least R15 billion over three years.
“Following on the proceeds raised from the disposals of its stakes in Amadeus, Travelstart, and the ATC loan of R2.1 billion earlier in the year, MTN has now concluded two further transactions bringing the total proceeds from its ARP to R14 billion thus far.”
“Firstly, MTN has concluded an agreement to dispose of its 49 per cent equity holdings in the Ghana and Uganda Tower Company investments to a subsidiary of American Tower Company for $523 million, approximately R7.3 billion,” MTN explained.
MTN expects the first transaction to be finalised by the end of Q1 2020.
“Secondly, MTN confirms that MTN Nigeria has completed the redemption of its preference shares with MTN Group receiving, in December 2019, an amount of $315 million (R4.4 billion),” the operator said.
MTN Group President and CEO Rob Shuter said more will be done this year.
“Realising proceeds from simplifying the group remains a major strategic objective and we expect further progress… in 2020,” Shutter said