Bharti Airtel, the majority shareholder in Airtel Africa, has acquired an additional 4.45 percent stake in the telecoms giant, further solidifying its control over the African telecommunications market.
The N409.4 billion acquisition was executed on the London Stock Exchange (LSE) at a share price of £1.32 per unit, adding 163,580,582 new shares to Bharti Airtel’s holdings.
With this latest acquisition, Bharti Airtel has increased its stake in Airtel Africa from 57.293 percent to 61.745 percent, continuing its trend of reinforcing its position in the fast-growing telecoms sector across the continent.
The move follows a series of share buybacks that had already seen Bharti’s stake rise incrementally from 57.06 percent to 57.293 percent.
According to a corporate disclosure on the Nigerian Exchange (NGX) website, the stake is held by Airtel Africa Mauritius Limited, a special purpose vehicle (SPV) of Bharti Airtel, which manages its African investments.
Market Response and Financial Performance
Despite the increased stake, Airtel Africa’s share price remained unchanged on the NGX. However, its stock on the LSE has surged by 24 percent year-to-date, reflecting strong investor confidence following its positive nine-month financial performance.
Airtel Africa posted a net income of $248 million for the nine months ending December 31, 2024, a sharp contrast from the $2 million recorded in the same period of the previous financial year.
The significant improvement in earnings underscores the company’s resilience and growth potential, particularly in an economic environment where digital connectivity continues to expand across Africa.
Analysts attribute the growth in Airtel Africa’s valuation on the LSE to its strong financial results and continued expansion across key African markets.
The company has maintained a competitive edge in mobile services, data, and mobile money operations, which remain key revenue drivers in its strategic outlook.
Strategic Expansion and Long-Term Vision
Bharti Airtel’s decision to increase its stake aligns with its long-term vision to strengthen its foothold in Africa’s telecommunications industry.
The company has been scaling up its investments in infrastructure, spectrum acquisition and digital transformation initiatives, positioning itself as a leading player in Africa’s mobile and internet services sector.
Market watchers believe that Bharti Airtel’s increased ownership signals strong confidence in Airtel Africa’s future growth trajectory, especially as demand for mobile data and financial services continues to rise across the continent.
The latest share acquisition also reflects Bharti Airtel’s commitment to driving operational efficiency, customer expansion, and market leadership in one of the world’s fastest-growing telecoms landscapes.
As the company prepares for further financial disclosures and potential expansion plans, investors will closely monitor Airtel Africa’s strategic moves and how Bharti Airtel leverages its increasing stake to drive greater market value in the coming months.
