South-African telecoms group Econet Wireless has agreed to buy an 8.6% stake in its subsidiary Liquid Telecom from telecom equipment designer Altech for US$55m.
Proceeds from the deal, which values Liquid Telecom’s at US$640m, will go towards repaying…
South-African telecoms group Econet Wireless has agreed to buy an 8.6% stake in its subsidiary Liquid Telecom from telecom equipment designer Altech for US$55m.
Proceeds from the deal, which values Liquid Telecom’s at US$640m, will go towards repaying Altech owner Altron’s newly-secured debt.
Altron chief executive Robert Venter said although its investment in Liquid was “performing well”, the 8.6% was “not a significant” stake and the funds could be applied more effectively elsewhere.
Altech acquired the 8.6% stake when it sold its East African operations to Liquid in February last year.
After acquiring the Altech assets, Liquid went on to agree to buy some assets of insolvent Rwandan fixed-line operator Rwandatel in June 2013 as part of its growth plans across the continent.
