The Federal Government has introduced plans to topic the proposed $6.2 billion acquisition of IHS Holding Limited by MTN Group to a complete regulatory evaluate, citing the crucial function of telecoms infrastructure in Nigeria’s financial system and nationwide safety structure.
This was in line with a press assertion by the Minister of Communications, Innovation and Digital Economy, Bosun Tijani, on Tuesday.
The transaction, structured as an all-cash deal, would see MTN Group take full possession of IHS and delist the tower firm, changing it into an entirely owned subsidiary.
MTN already holds a big minority stake in IHS, one in all Africa’s largest unbiased tower operators with tens of 1000’s of websites throughout main markets, together with Nigeria.
What the assertion says
In the assertion, Tijani stated the federal government was carefully watching developments across the transaction.
“The Federal Ministry of Communications, Innovation & Digital Economy notes recent developments in the Nigerian telecommunications sector regarding the acquisition of IHS Towers by MTN Group,” the minister acknowledged.
He famous that previously two years, beneath the administration of Bola Tinubu, reforms have been launched to stabilise and reposition the telecoms sector as a key pillar of Nigeria’s digital financial system.
“Through policy clarity, regulatory support, and sustained engagement with industry stakeholders, government has prioritised long-term sustainability, investor confidence, and improved sector performance,” Tijani stated.
Why the deal faces nearer scrutiny
The minister made it clear that the proposed acquisition wouldn’t be handled as a routine company transaction as a result of sensitivity of telecoms infrastructure property.
“Given the strategic importance of telecommunications infrastructure to national security, economic growth, financial services, innovation, and social inclusion, and to ensure strategic actions by private sector operators are in line with the market development agenda under the Renewed Hope policy directions of the President, the Ministry will undertake a thorough assessment of this development in collaboration with the relevant regulatory authorities to review its impact on the sector,” he acknowledged.
Nigeria’s telecoms community underpins banking programs, fintech platforms, e-commerce, public service supply and rising digital applied sciences. Control of tower property subsequently, carries implications that reach past industrial returns.
Tijani acknowledged that the sector has not too long ago proven indicators of restoration, citing improved {financial} efficiency amongst operators.
“Recent financial results announced by key operators indicate a return to improved profitability, increased investment in telecoms infrastructure and operational stability across the sector,” he stated.
“This progress reflects the resilience of the industry and the impact of reforms aimed at ensuring its viability and capacity to continue delivering meaningful connectivity to Nigerians.”
He pressured that the federal government’s goal is to make sure that any consolidation protects customers and sustains long-term sector well being.
“Our objective is clear: to ensure that any market consolidation or structural changes protect consumers, safeguard investments, and preserve the long-term sustainability of the sector,” the minister stated.
What you need to know
Nairametrics earlier reported that MTN Group reached an settlement to amass IHS Towers, one of many world’s largest unbiased homeowners and operators of shared telecom infrastructure, in an all-cash transaction that values the corporate at an enterprise worth of roughly $6.2 billion.
The deal follows weeks of negotiations between each events, which had been publicly reported earlier this month.
Under the phrases of the merger settlement, IHS shareholders will obtain $8.50 per extraordinary share in money, representing a 36% premium to its 52-week volume-weighted common worth, and a modest 3% premium to its unaffected closing worth of $8.23 on February 4, 2026.
