Bharti Airtel announces takeover of AirtelTigo by Ghanaian government
Ghanaian government, Bharti Airtel, and Millicom International Cellular have reached an agreement for the transfer of AirtelTigo, a joint venture (JV) between Airtel Ghana and Millicom Ghana, to the government, on a going concern basis.
The government will acquire 100% shares of AirtelTigo and all customers, assets, and liabilities, as per the proposed agreement. The consideration is reportedly under $25 million.
Post-takeover, AirtelTigo will become and operate as a state entity, said Bharti Airtel.
The Indian telecommunications company stated: “The unsustainable non controlled JV will be handed to the GoG, who are committed to reviving the company making suitable investments etc. and operate the company while protecting the interests of the customers, employees of the company and all other stakeholders.”
Bharti Airtel announces takeover of AirtelTigo by Ghanaian government. Photo courtesy of Shrutuja Shirke/Wikipedia.org.
The deal will be subject to the closing of the mutually agreed conditions between the parties.
Bharti Airtel said that it had already written off its investment in AirtelTigo, which was launched in November 2017 through a merger between Airtel Ghana and Tigo, owned by Millicom Ghana.