Millicom Tanzania, which operates under the brand name Tigo, has received approval from local antitrust authorities to combine with its sister company Zanzibar Telecommunication (Zantel). The process to transfer ownership of shares in Zantel to Tigo has now been completed and both companies will now combine their operations in mainland Tanzania and Zanzibar, with the integration process set to begin ‘soon’. In a press release Tigo said the move would enable improved coverage and better quality of service for customers in both urban and rural areas of Tanzania.
‘Through combining our operations in Tanzania – Tigo and Zantel – I firmly believe we will create a more inclusive future for Tanzanian telecommunications. Both Tigo and Zantel customers will be able to enjoy enhanced services and a more consolidated market will help drive forward innovation in the sector more broadly,’ commented Managing Director of Tigo Simon Karikari.
As previously reported by CommsUpdate, at the start of this year Tanzania’s Fair Competition Commission (FCC) received a notification from Millicom that it intended to increase its shareholding in Zantel from 85.0% to 99.9% through the acquisition of a roughly 15% stake from the government of Zanzibar.