27 November 2017
| Alan Burkitt-Gray
Sources close to Econet confirm that the company is considering floating its shares on the London Stock Exchange.
Reports this morning say that the
company, which owns a mobile operator in Zimbabwe as well as
southern African fibre carrier Liquid Telecom, would be valued
at $8 billion if the initial public offering (IPO) went
Capacity contacted the group’s London
office and was referred to a financial PR company, Tavistock,
which had no comment to make on the report.
Econet was founded by Zimbabwean businessman Strive Masiyiwa,
who is now based in London. The company has expanded from its
base in Zimbabwe, where it is now the only mobile operator not
owned by the state, into wholesale and enterprise telecoms
across southern Africa through Liquid Telecom.
Last year it agreed to buy South Africa’s Neotel from Tata Communications for $429
The reports appear to have originated in a briefing to the
Bloomberg news service, which said that Econet is looking at a
number of acquisition in the African mobile market.
Capacity’s sources confirm the accuracy of the
reports, which were attributed to "people familiar with the
The reports, which emphasize that no final decision has been
made, say that the idea is for an IPO of $1 billion worth of
shares, valuing the company at $8 billion. Funds would be used
The Bloomberg report mentioned Millicom’s African
businesses in Chad, Ghana, Rwanda and Tanzania, but
Swedish-owned Millicom is not commenting.