In less than four months after the news broke that South African company, Shoprite is exiting Nigeria after a reported acquisition put at circa $30bn by Persianas, a company involved in the construction and management of real estates in Nigeria, another south African business is reportedly reeling from low revenues.
According to a report by Ripples Nigeria, Telecommunications company, MTN Group, is selling off assets, while also abandoning some to force out its market exit, in a bid to increase available liquidity,
The network provider is set to generate about $747 million from the sale of its South African towers. According to the Chief Executive Officer of MTN, Ralph Mupita, bids have been received for the sale.
Part of the break up ongoing within MTN Group includes the separation of both the fintech and fiber units, with the former going separately by March, Bloomberg reported – while the fiber unit will standalone in the next two years.
In its market exit bid, MTN Group’s focus is on the Middle East, with Syria, Afghanistan, Yemen tabled on the exit options, and ignoring Ethiopia’s international operator license call.
Already, MTN has taken an unorthodox path in exiting Syria’s business environment, by abandoning its business due to regulatory demands in the country.
Meanwhile, in Nigeria, MTN continues to suffer data subscriber loss, with over 600,000 wiped off its customer base, and 473,495 users in its telephony service in July, RovingNaija has learnt.
According to Ripples Nigeria analysis of industry data obtained from Nigerian Communications Commission, MTN is on a six-month run loss this year.
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