The MTN Group has concluded an agreement to increase its stake in MTN Rwanda from 40% to 55%. The additional 15% stake was acquired from Tristar Investments, which remains a significant 35% shareholder after the transaction. MTN Group President and CEO Phuthuma Nhleko said: ‘This acquisition demonstrates MTN’s confidence in the Rwandan economy and our resolve to consolidate our position in the region. We are pleased that this transaction has the endorsement of all shareholders.’
According to TeleGeography’s GlobalComms database MTN Rwanda currently enjoys the status of sole wireless network operator in Rwanda. The company has enjoyed strong subscriber growth in recent years, recording a 69% increase in customers in the twelve months to September 2007 to 576,000, translating to a wireless penetration rate of 6.2%, putting the country on a par with Somalia (6.3%) and Malawi (6.5%). MTN offers a post-paid corporate and a variety of pre-paid subscription plans, in addition to a community payphone service under the Tuvugane banner. Its distribution network comprises more than 3,000 dealer outlets, supplemented by franchise shops, retailers and other assorted vendors.