Airtel Africa is set to displace MTN as the biggest telecoms operator on the African continent following the latest interest shown by search engine giant Google to stake some fortune on the Indian telco.
According to sources, the global internet company plans to buy a 1.28 per cent stake in the company and invest over $967.9 million in Airtel.
Google said it would invest in the Indian telecom provider as part of its India US$10 billion commitment.
The latest funding will be split into two parts, with the first US$701.7 million going toward acquiring a 1.28 per cent interest in the company and the second $301.2 million going toward exploring multi-year commercial deals with the telecom firm.
The two companies will collaborate to grow and expand Airtel’s offerings in Africa to include a wide range of Android-enabled smartphones and consumers’ innovative, affordable programmes.
Sundar Pichai, the CEO of Alphabet, the parent company of Google, said that Airtel is a pioneer in creating digital future and that Google is proud to partner on a vision for expanding connectivity.
He explained that Google’s commercial and equity investment in the company is part of the Google for India Digitisation Fund’s efforts to expand smartphone access in India.
Business Metrics had reported that Airtel Africa, a member of the SWOOT (Stocks Worth Over One Trillion), has surpassed Dangote Cement, owned by Aliko Dangote, Africa’s richest man, as the highest capitalised company listed on the Nigerian Stock Exchange.
The second-largest telecoms business in Nigeria crossed the N5 trillion mark ($12 billion) for the first time on Friday, January 28, 2022, as the stock rose 9.9 per cent to close at $13 billion.
It is a watershed moment since it’s the first time a Nigerian firm has surpassed the N5 trillion ($12 billion) mark.
The company surpassed Dangote Cement as the largest capitalised stock in Nigeria after gaining 10 per cent and ending at $3.08 per share on Thursday, January 27, 2022.
