MTN Group has announced that its acquisition of IHS, a major player in international cellular tower infrastructure, has resulted in a pro forma profit of US$121 million for the 2025 financial year.
The African telecommunications giant disclosed last year its plans to acquire the remaining 75% stake in IHS, raising its ownership in the firm to 100%.
IHS is recognised as one of the largest independent tower infrastructure operators globally, with nearly 29,000 cellular towers across Africa serving multiple network operators in five core markets for MTN.
In February 2025, the board of IHS Towers approved MTN’s $ 8.50-per-share offer, paving the way for MTN to acquire all outstanding shares.
According to a recent financial document on the proposed acquisition’s impact, MTN Group projects that the transaction will increase its profit after tax from US$1 billion to US$2 billion in 2025. This US$505 million increase includes non-recurring items, such as a US$193 million gain from the divestiture of a subsidiary, a US$64 million reversal of impairment on withholding tax receivables, and transaction costs totalling US$39 million. After accounting for these items, the pro forma profit impact diminishes to US$121 million, bringing MTN’s total pro forma profit to US$1 billion.
The acquisition is also expected to result in a one-time 8.3% boost in headline earnings per share (HEPS), bringing HEPS to US$0.83 per share post-transaction. Following this deal, EBITDA is forecast to increase from US$5 billion to US$6 billion, reflecting a 9% increase. However, the acquisition also raises MTN’s debt-to-EBITDA ratio from 0.3× to 0.8×.
The acquisition of IHS Towers is pending approval from IHS shareholders and regulatory authorities in the markets where both companies operate.
Ralph Mupita, MTN Group President and CEO, emphasised that this acquisition presents a critical opportunity to reclaim towers previously sold to IHS, enhancing MTN’s market position.
“This transaction marks a significant step in reinforcing MTN Group’s strategic and financial stance in a future where digital infrastructure will play a vital role in Africa’s development,” said Mupita.
Sam Darwish, IHS chairman and CEO, highlighted that the transaction reflects the strong ties between IHS Towers and the African continent.
“This partnership strengthens the long-standing collaboration between MTN and IHS, merging Africa’s largest mobile network operator with one of its foremost digital infrastructure platforms,” he stated.
