Pan-African operator Smile Telecoms Holdings has announced that its restructuring plan has been approved by the company’s lenders. According to a press release, the debt restructuring plan sees an injection of funding from Smile’s majority shareholder, the Al Nahla Group, and rescheduling on debt repayment until post-March 2022. The fresh injection of USD51 million in funding for operations will ‘further enhance Smile’s position in its respective markets and energise Smile’s operations and support efforts towards achieving better performance’. Smile Telecoms Holdings was founded in 2007 and provides mobile and broadband services in Nigeria, Uganda and Tanzania, with plans to launch in the Democratic Republic of Congo (DRC).
As previously reported by CommsUpdate, last month Al Nahla Group and Smile’s South African minority shareholder and creditor Public Investment Corporation (PIC) were in talks to avoid a potential liquidation of the company. Smile launched a restructuring plan earlier this year, with Al Nahla leading a proposal to inject more than USD50 million cash in the company provided PIC extended the terms of an option to sell its stake.