Orange sells Ugandan operation to Africell

Orange has sold the majority holding in its Ugandan unit to Africell. The operator is offloading a number of its international assets as part of a streamlining review.

Africell has not disclosed how much it paid for the 95% stake. The acquisition enables the operator to expand into a fourth market; it already has operations in Democratic Republic of the Congo, Gambia and Sierra Leone.

Orange Uganda had 618,000 subscribers in December 2013, and Africell has a long way to go if it wants to challenge market leader MTN’s 8.8 million connections. The group has over 9 million active subscribers across its operations, and was able to secure a 20% market share in DRC in under two years.

Africell Chairman and CEO Ziad Dalloul said: With a population of over 37 million and a penetration rate of 50%, Uganda was well within the criteria we had set to further expand in Africa, targeting high-potential and high-growth markets.”

Earlier this year, Orange sold its Orange Dominicana unit to Altice for €1.05 billion as part of what the group has termed an “asset portfolio optimisation strategy”.

Orange is reportedly also looking to divest itself of its 70% holding in Telkom Kenya. However, the group has stated that it considers Africa and the Middle East to be “strategic priorities.”


Sign-up to our weekly newsletter

Keep up-to-date with all the latest news, articles, event and product updates posted on Developing Telecoms.
Subscribe to our FREE weekly email newsletters for the latest telecom info in developing and emerging markets globally.
Sending occasional e-mail from 3rd parties about industry white papers, online and live events relevant to subscribers helps us fund this website and free weekly newsletter. We never sell your personal data. Click here to view our privacy policy.