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MTN Group is seeking Nigerian investors to acquire a 30% stake in IHS Nigeria, with the proposed sell-down expected to generate between $900 million and $1.1 billion as the telecom giant moves to satisfy regulatory conditions attached to its acquisition of IHS Towers.
The planned transaction follows conditional approval from Nigeria’s competition authorities for MTN’s proposed acquisition of the remaining stake in IHS Holdings. Under the terms of the approval, MTN is required to reduce its ownership in the Nigerian component of the tower business by up to 30% and sell the stake to local investors at market-based prices.
MTN Opens Door to Local Investors
The proposed sell-down would create an opportunity for Nigerian investors to take ownership in a major telecommunications infrastructure business that operates thousands of towers across the country.
People familiar with the transaction told Bloomberg that the 30% stake could be worth between $900 million and $1.1 billion, depending on the eventual valuation and transaction structure. MTN has not publicly disclosed a final price for the stake.
MTN Group Chief Executive Officer, Ralph Mupita, confirmed that the company intends to sell part of the Nigerian business in compliance with the regulatory condition.
He said proceeds from the transaction would be used to reduce debt associated with the IHS acquisition, while stressing that the sale would be conducted on a market-oriented valuation basis.
IHS Nigeria Controls Major Tower Infrastructure
IHS Nigeria is a major player in the country’s telecommunications infrastructure market, operating approximately 18,000 mobile-phone towers, according to people familiar with the matter.
The Nigerian business is also the largest asset within IHS Towers, which operates approximately 29,000 towers across Africa, with Nigeria and South Africa among its biggest markets.
The towers provide critical infrastructure for mobile network operators, supporting the delivery of voice, data and other telecommunications services across the country.
For MTN, gaining greater ownership of IHS therefore represents a strategic move to strengthen its position around the infrastructure supporting its telecommunications operations.
Regulatory Condition Shapes the Deal
The local ownership requirement emerged as one of the key conditions surrounding MTN’s proposed takeover of IHS.
Nigeria’s competition authorities have allowed the acquisition to proceed, but required MTN to sell down as much as 30% of the Nigerian business to local investors over time.
The condition is aimed at addressing potential competition concerns that could arise if one of Nigeria’s largest mobile operators gained control of a major tower infrastructure provider serving multiple telecommunications companies.
The sell-down would also ensure that Nigerian investors retain an ownership interest in an important component of the country’s digital infrastructure.
MTN Moving to Complete $6.2 Billion IHS Acquisition
MTN announced plans in February 2026 to acquire IHS Towers in a transaction valuing the company at approximately $6.2 billion.
Under the proposed deal, MTN agreed to acquire the roughly 75% of IHS Towers that it did not already own, with shareholders set to receive $8.50 per share in cash. The transaction would take IHS private once completed.
MTN already has a longstanding relationship with IHS, including its position as a major customer and shareholder. The proposed acquisition would give the telecom group significantly greater control over a key part of the infrastructure supporting its operations.
IHS shareholders have also approved the transaction, bringing the proposed takeover closer to completion.
Debt Reduction Becomes a Priority
The planned Nigerian stake sale could also help MTN manage the financial obligations associated with the acquisition.
Mupita said proceeds from any sell-down would be directed towards paying down IHS-related debt.
That means the transaction serves two purposes for MTN: satisfying the Nigerian regulatory requirement while generating funds that can help reduce the financial burden associated with taking control of IHS.
The eventual amount raised will depend on the valuation agreed with local investors and the final structure of the transaction.
A Major Test for Local Capital
For Nigerian investors, the proposed transaction could represent one of the more significant opportunities to participate directly in telecommunications infrastructure.
The country’s rapidly expanding digital economy continues to depend heavily on tower networks, fibre, data centres and other infrastructure required to support growing mobile and internet usage.
Bringing local investors into IHS Nigeria could therefore deepen domestic participation in a strategically important infrastructure asset.
However, the scale of the proposed investment — potentially reaching $1.1 billion — means the transaction is likely to require substantial institutional capital and carefully structured financing.
MTN Balances Expansion With Regulation
The IHS transaction forms part of MTN’s broader strategy to gain greater control over the infrastructure and digital services underpinning its African operations.
The group has increasingly expanded beyond traditional mobile connectivity into areas including fintech, digital infrastructure and data centres.
At the same time, regulators in its key markets are paying closer attention to how telecom operators interact with infrastructure providers and competitors.
The requirement to sell 30% of IHS Nigeria demonstrates that MTN’s expansion strategy will continue to be shaped by competition and local ownership considerations.
For now, the focus shifts to finding Nigerian investors capable of taking up the stake and agreeing on a market-based valuation.
If completed successfully, the sell-down would give local investors a sizeable position in one of Nigeria’s most important telecom infrastructure businesses, while providing MTN with additional funds to reduce IHS-related debt and advance its broader infrastructure strategy.
