Helios Towers Africa (HTA), the leading independent telecoms towers company in Africa has signed a deal with Bharti Airtel to acquire 3,100 telecoms towers in four countries across its African operations and lease them back to the telecoms company to be used for its mobile services under a long term lease contract.
Airtel said that the deal will help Airtel deleverage through debt reduction and reduced ongoing capital expenditure.
Under the agreement Airtel will have full access to the towers from HTA and the company also envisages that tower operations-related personnel will be transferred from Airtel to HTA.
“The agreement is another milestone in Airtel’s growth journey in Africa. Airtel pioneered the concept of a separate tower entity to promote infrastructure sharing in India and this agreement is a continuation of that philosophy. It is an important step towards the consolidation of tower assets across Africa that will drive industry-wide cost efficiencies through infrastructure sharing. The agreement will further help in accelerating the growth of telecom services in the Continent and at the same time benefit the environment by avoiding duplication of infrastructure.”
– Manoj Kohli, Chairman, Bharti Airtel International Netherlands BV (BAIN)
HTA is proud to be chosen by Airtel as its partner for the ownership and management of its existing infrastructure. This is a ground-breaking move for HTA and Airtel’s decision is a significant endorsement of HTA’s reputation, management team and operating track record.”
– Chuck Green, Chief Executive Officer of HTA