Airtel Africa, a leading telecommunications and mobile money service provider in Africa, announced that it has received a combined $500 million as proceeds from the minority stake sales in Airtel Money from TPG’s The Rise Fund, Mastercard and Qatar Investment Authority (QIA).
The telecoms giant disclosed in a statement seen by Investors King.
The latest investment was in addition to the first closing announced by the Group on 18 March 2021, 1 April 2021 and 30 July 2021, respectively.
TPG and QIA, after meeting the conditions for second closing, invested an additional $50 million each while Mastercard added $25 million in the secondary purchase of shares in AMC BV from a subsidiary of Airtel Africa.
Airtel plans to use the proceeds from the secondary stake sale to reduce debt and expand its network and sales infrastructure in operating countries.
“With the conditions for second closing having now been met, TPG and QIA have each invested a further $50m, and Mastercard a further $25m, in the secondary purchase of shares in AMC BV from a subsidiary of Airtel Africa.
“Both QIA and TPG each appointed a director to the board of AMC BV upon the first closings. With these second closings, Airtel Africa will have received a total of $500m cumulative proceeds from the minority stake sales in Airtel Money from the three investors.
“As previously reported, the proceeds from these secondary stake sale transactions will be used to reduce Group debt and invest in network and sales infrastructure in the respective operating countries.”