Orange has agreed to buy Cellcom Liberia, an asset within the portfolio of ECP Private Equity. The firm, which also owns stakes in East African cableco Wananchi, IHS Towers and Airtel Gabon, entered Cellcom’s shareholding in 2007. Orange, which is in talks with Bouygues in France and remains linked to interest in Telecom Italia, continues to describe Africa as a strategic priority. Last year, it boosted its stake in Morocco’s Meditel to 49%; entered talks to buy assets in Burkina Faso, Sierra Leone, Chad and Congo-Brazzaville from Bharti; and reportedly offered €50m for a 51% stake in Mauritania’s Mattel.
Orange (EPA:ORA) has agreed to acquire 100% of Cellcom Liberia from Cellcom Telecommunications as part of its “strategic” focus on Africa. Africa-focused ECP Private Equity, which also owns stakes in East African cableco Wananchi, IHS Towers and Airtel Gabon, acquired Cellcom in 2007.
The French operator will purchase the asset – Liberia’s leading cellco – via an existing subsidiary, Orange Côte d’Ivoire, for an undisclosed price.
The transaction does not include Cellcom’s other asset, Cellcom Guinea.
Cellcom’s founders and employees will remain involved in the business to ensure a smooth integration, support performance and continue long-standing
Cellcom, whose CEO Avishai Marziano took the top job in 2013, started offering Facebook’s Free Basic, which enables emerging markets-based users to access Facebook and other internet content without using their data package or credit, in October 2015.
Liberia has a population of 4.3 million, with a mobile penetration rate of 66%, which Orange noted is lower than that of many neighbouring countries.
Launched in 2004, Cellcom Liberia competes with MTN, Comium and LiberCell, according to analysts at Budde.
The transaction must be approved by the relevant authorities.
