Ecobank announces $202m capital for IHS Holding to invest in mobile towers

Ecobank says it is raising an amount of $202 million as capital for IHS Holding to invest in mobile network towers in Cameroon and Ivory Coast.

In a press release issued today in Paris, France and copied to ghanabusinessnews.com, Ecobank says its investment banking division, Ecobank Capital has successfully raised a $202 million syndicated credit facility (“facility”) on behalf of IHS Holding Limited (“IHS”), Africa’s largest independent mobile infrastructure provider.

According to the release, the proceeds (equivalent in local currency – West (XOF) and Central African (XAF) CFA francs) will be put to use as part of IHS’s acquisition of MTN Group Limited’s 1,757 mobile network towers in Cameroon and Ivory Coast along with the continuation of IHS’s solar energy and build-to-suit programmes for other wireless operators.

The release indicates that the credit facility comprises two transactions, one in Cameroon and one in Ivory Coast.

Ecobank Capital acted as the Mandated Lead Arranger for both transactions, it said.

Cameroon:

The total facility is $102 million (XAF 52 billion), split into:
·    $62 million (XAF 32 billion) 5-year tranche
·    $40 million (XAF 20 billion) 7-year tranche
·    BDEAC (Central African State Development Bank), AfrilandFirst Bank and BGFI, the Franco-Gabonese bank acted as co-arrangers
·    Participating banks included UBA, Orabank, and Ecobank Group.

Ivory Coast:

The total facility is $100 million (XOF 50 billion), comprising:
·    A single, 5-year tranche
·    Participating banks includedUBA, Orabank, Bank of Africa, BanqueNationaled’Investissementand Ecobank Group.

By Emmanuel K. Dogbevi