Subscribe

MTN to dispose of 50% stake in Afrihost

Staff Writer
By Staff Writer, ITWeb
Johannesburg, 23 Jun 2016
MTN SA CEO, Mteto Nyati, says the disposal will allow both parties to focus their attention on their core businesses.
MTN SA CEO, Mteto Nyati, says the disposal will allow both parties to focus their attention on their core businesses.

MTN has announced that its plans to dispose of its 50.02% shareholding in internet services provider, Afrihost.

"The deal is in line with MTN's strategy of focusing on core business while exploring relevant adjacent growth opportunities. The conclusion of this transaction will go a long way towards streamlining our operations," says MTN SA CEO, Mteto Nyati.

MTN acquired its shareholding in Afrihost in 2014. Evolving market circumstances have resulted in MTN reviewing its ownership in Afrihost and as a result, MTN has agreed to dispose of its shareholding to the executive management of Afrihost.

Nyati says the disposal will allow both parties to focus their attention on their core businesses.

"We have enjoyed a long and fruitful partnership with MTN over the years and we are grateful for everything they have done for us. MTN will remain a key supplier of ours, and we look forward to continue working with them for the years ahead," says Gian Visser, Afrihost's CEO.

In line with the spirit of the agreement, MTN expects this development to have minimal impact on its customers. The transaction is still subject to regulatory clearances and Competition Commission approval.

Share