Insta
Tanzania Cuts The Grass Under Airtel’s Feet; Disapproves Of Its Africa IPO Plan
Representative Image. (Pradeep Gaur/Mint via Getty Images)
The Tanzanian government has refused to grant recognition to Airtel Africa’s IPO and has also claimed a part of the company’s unit operating in the African country, reports Mint. This could deal a blow to Airtel’s plans to publicly list the company and use the proceeds from the stake sale to fund further expansion.
“It’s not legitimate for Bharti Airtel to undertake any affiliate consultations of our Airtel Tanzania company by advertising it publicly without obtaining the consent of a partner who is the Government of the United Republic of Tanzania,” Athumani S Mbuttuka, treasury registrar, Tanzania, mentioned in a statement.
The statement also noted that the ownership of Airtel’s unit in Tanzania was in question and it will depend on negotiations between the company and the government of the country.
Recent media reports have stated that Airtel Africa has completed the pre-IPO placement of shares, amounting to $1.25 billion, to six marquee global investors like Warburg Pincus and Softbank. Airtel’s Africa operations have been on an upswing this year, and it reported profits of Rs 232.3 crore. Last year, it had losses amounting to Rs 207.9 crore. The revenues were up 13 per cent.
Support Swarajya's 50 Ground Reports Project & Sponsor A Story
Every general election Swarajya does a 50 ground reports project.
Aimed only at serious readers and those who appreciate the nuances of political undercurrents, the project provides a sense of India's electoral landscape. As you know, these reports are produced after considerable investment of travel, time and effort on the ground.
This time too we've kicked off the project in style and have covered over 30 constituencies already. If you're someone who appreciates such work and have enjoyed our coverage please consider sponsoring a ground report for just Rs 2999 to Rs 19,999 - it goes a long way in helping us produce more quality reportage.
You can also back this project by becoming a subscriber for as little as Rs 999 - so do click on this links and choose a plan that suits you and back us.
Click below to contribute.
Latest
