VENTURES AFRICA – Ecobank Capital has secured a $202 million syndicated loan facility, to be used by IHS Holdings Limited for the purchase of MTN mobile network towers in Cameroon and the Ivory Coast.
Ecobank Capital – the investment arm of pan-African bank Ecobank – announced the successful securing of the credit facility – worth $202 million – on behalf of IHS, a mobile infrastructure company operating across Africa.
The credit will be put towards the purchase by IHS of MTN’s 1,757 mobile network towers to be located around Cameroon and the Ivory Coast, in a bid to improve the mobile infrastructure of the West African countries.
Some of the funds will also be used to further IHS’ solar energy projects.
Speaking on receiving the funding opportunity which make the infrastructure projects possible, CEO of HIS Holdings, Issam Darwish commented: “We are delighted the consortium shares our long-term vision of creating an indigenous force in mobile network infrastructure and collectively has the financial capacity to support our pan-African expansion.”
With respect to Ecobank’s help, Darwish added: “I wish to express my appreciation to Ecobank, the co-arrangers and participating banks. The facility was oversubscribed and securing this facility reaffirms our excellent reputation on the local and international credit markets.”
Ecobank also made a statement regarding the grant of the syndicated loan facility, noting the role of mobile technology in the developmental process across the continent, with Ecobank’s Group Head of Investment Banking Ehouman Kassi saying: “This funding is in line with Ecobank’s strategy of supporting our key clients in their pan-African development. This transaction reinforces the commitment of the arrangers and participating banks to ongoing financing of the mobile network infrastructure which is crucial to the economic development and growth of the continent.”
Revealing the funding institutions involved in the facility, Kassi added: “Ecobank, the co-arrangers; BDEAC, Afriland First Bank, BGFI and the participating banks: UBA, Orabank, BOA and BNI are proud to be associated with IHS’ continued growth story and committed to supporting its future development, together with such respected shareholders as Wendel, ECP, IFC, FMO and Investec.”
Gabriella Mulligan is a journalist with a special interest in business and legal issues, having come to journalism following a successful career in consultancy. After completing her legal education at the esteemed law school at Cambridge University, and prior to that at the University of Kent, Gabriella went on to work for a “Big Four” financial and business services firm. She now enjoys writing on topical issues that affect businesses and the economy today. Gabriella is British and Hungarian. She has travelled widely, but harbours a passion for Africa and has made Nairobi, Kenya her home.