Bharti Airtel to Acquire Millicom

Bharti Airtel Limited (“Airtel”), a leading global telecommunications services provider with operations in 17 countries across Asia and Africa, has said that through its subsidiaries, it has entered into a definitive agreement with Millicom International Cellular S.A. (“Millicom”).

Under the agreement, Airtel Rwanda Limited (“Airtel Rwanda”) will acquire100%equityinterestinTigoRwandaLimited(“TigoRwanda”).The acquisition will consolidate the Rwandan telecom market and position Airtel as a strong number 2 operator in Rwanda. The consideration for the transaction is based on approximately 6x EBITDA multiple, payable over two years. The agreement is subject to regulatory and statutory approvals. Sunil Bharti Mittal, Chairman, Bharti Airtel, said, “Airtel has taken proactive steps in Africa to consolidate and realign the market structure in the last few remaining countries where its operations are lagging on account of lower market share and presence of too many operators.AirtelandTigohavealreadymergedtheiroperationstocreate a strong viable entity in Ghana. With this development, the company is believedtohavetakenyetanotherimportantsteptoacquireTigoRwanda to become a profitable and a strong challenger in a two-player market.

We are also committed to the long term viability of our operations in two other countries i.e. Kenya and Tanzania, to ensure that in 2018 all our 15 operations in Africa start contributing positive margins and cash flows towards a healthy and profitable Airtel Africa.”