Tanzanian govt completes deal to buy TTCL

27 Sep 2016

The government of Tanzania this week regained full ownership of the country’s PTO Tanzania Telecommunications Company Limited (TTCL), following the signing of a memorandum of understanding (MoU) in June this year with minority shareholder Bharti Airtel of India. As previously reported by TeleGeography’s CommsUpdate, the 35% stake has been valued at around TZS14.6 billion (USD6.7 million), with Bharti Airtel having already rejected a TZS5 billion offer from the government in November 2014. The MoU was signed in Dar es Salaam on 23 June by the Treasury Registrar, Lawrence Mafuru, and the CEO of Bharti Airtel Africa, Christian De Fariasees, to transfer Airtel’s 35% stake in TTCL to the state. TTCL’s Board Chairman, Professor Tolly Mbwette, was cited as saying that the repossession of shares will allow the operator to implement its business strategy, while it is noted that TTCL – the country’s oldest operator and largest fixed line player — plans to list on the Dar es Salaam Stock Exchange as part of its five-year plan to raise USD330 million to improve and expand its operations. Talks with Bharti Airtel lasted six years and were delayed by wrangling over price.

Tanzania, Bharti Airtel, Tanzania Telecommunication Corporation