MTN wins licences in West Africa
17 December 2015 |
South Africa’s MTN Group has secured two licences in West Africa – in Ghana and Côte d’Ivoire – for a combined cost of R3.5 billion (approximately $235 million).
In Ghana, MTN has secured a 15 year 4G LTE licence in the 800MHz spectrum band for a purchase consideration of R1 billion (approximately $68 million).
“The National Communications Authority of Ghana will award the licence and spectrum to MTN Ghana once the licence fee has been paid,” MTN said in a statement.
MTN Ghana is required to have a minimum of 35% Ghanaian ownership within 13 months of the licence’s date of effect.
In Côte d’Ivoire, the company has made a partial payment of 75% for a unified communications licence, the full value of which sits at R2.5 billion ($167 million).
“By paying 75%, which is above the required 50% minimum, MTN Côte d’Ivoire obtains the extension of the operating term of the unified license for 17 years, for commissioning all services and products associated with 2G/3G/4G/LTE and upcoming new technologies,” MTN said in a statement.
MTN’s share price was up by nearly 6% on the Johannesburg Stock Exchange (JSE) on Thursday following the news.