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  • MSI Cellular wins licence in largest African country

MSI Cellular wins licence in largest African country

By Brunswick SA
Johannesburg, 10 Dec 1999

MSI Cellular, the international operator in the Khuluma 084 consortium bidding for the third cellular licence in South Africa, today announced that it has won the GSM cellular licence in the Democratic Republic of Congo. This is already the 10th GSM licence in Africa for MSI Cellular, which has committed more than $250 million in Africa since last year. MSI Cellular offers cellular services to over 175 million people - almost a quarter of the population of Africa.

"Winning a licence in the largest country in Africa means that we are recognised as the telecommunications leaders in Africa," said Mo Ibrahim, founding chairman of MSI Cellular. "The next step in the realisation of our dream to create a Pan African Cellular is to win the third cellular licence in South Africa."

The Democratic Republic of Congo, the former Zaire, was the first African country to install a cellular network in 1986. The country has become reliant on cellular communication as their main way of communicating, but many customers still use the old analogue technology, which limits services and geographical reach. MSI Cellular has now been tasked to upgrade the cellular services by installing a GSM cellular .

"We have many years` experience in rolling out rural and African networks, using the best technological solution for these areas. We use leading-edge GSM digital technology such as GSM 1800 and extended GSM 400 (as we are planning to use in South Africa) in all countries to ensure that ordinary people are given greater access to each other and the rest of the world," Ibrahim added.

MSI Cellular is backed by some of the world`s major financial institutions, including the IFC arm of the World Bank, WorldTel, the International Telecommunications Union (ITU) development fund, the UK-based investment group CDC, GE Capital, AIG, and Mitsui. MSI shareholders include some of the world`s largest companies, with a total market capitalisation in excess of $500 billion.

MSI Cellular currently has GSM cellular operations in Egypt, Uganda, Zambia, Malawi and Congo-Brazzaville and is building networks in Sierra Leone, Gabon, Chad and Guinea. MSI Cellular is also a shareholder in the successful Peoples Phone GSM 1800 network in Hong Kong.

"We are proud to have MSI Cellular as our leading operator partner in South Africa, which will undoubtedly become one of the most important cellular licences in Africa," said Khuluma 084 Chairman, Thozamile Botha. "Winning the licence in the DRC, the largest African country, has reinforced MSI Cellular`s reputation as a major player in the creation of an African Renaissance through world-class service and innovative technology solutions."

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MSI Cellular

MSI Cellular was formed in March 1998 from the de-merger of Mobile Systems International plc, the world`s leading cellular software and consulting group, starting with initial operations in Uganda, India and Hong Kong. MSI Cellular is a private company majority owned by Africans.

MSI Cellular has now become the premier operator of GSM cellular networks in Africa with operations in Egypt, Uganda, Zambia, Malawi, Republic of Congo, Sierra Leone, Gabon, Guinea and Chad and now DR Congo.

MSI Cellular has 70% equity stake in DR Congo licence, with the other 30% to be held by local partners. MSI always work with local partners in the countries they operate in to ensure the transfer of skills.

MSI Cellular is favourite for the new licence in South Africa as part of the Khuluma 084 consortium and will bid in forthcoming new licence tenders and other opportunities. The objective is to build a Pan-African network of cellular digital coverage.

MSI Cellular has also submitted its bid in Cameroon for the privatisation of Camtel Mobile, the Cameroon cellular incumbent.