Zain Completes Acquisition of IHS Kuwait Limited
Deal News | Dec 03, 2024 | Zawya
Zain Group, a prominent telecommunications firm operating in the Middle East and Africa, has entered a definitive agreement to fully acquire IHS Kuwait Limited by purchasing the remaining 70% stake for $134 million. This acquisition will increase Zain's ownership in the Kuwaiti tower company from 30% to 100%, thereby enhancing its digital infrastructure strategy. The target company, IHS Kuwait Limited, is part of IHS Towers, one of the largest independent owners of shared communications infrastructure globally, with over 40,000 towers across multiple countries. This strategic move aligns with Zain's expansion plans, which also include a significant deal to acquire and merge 30,000 towers with Ooredoo. The transaction awaits approval from government and regulatory bodies and involves a comprehensive advisory team, including FTI Capital Advisors, PwC, and legal firms DLA Piper and GLA & Company.
Sectors
- Telecommunications
- Mergers & Acquisitions
Geography
- Kuwait – The primary location where the acquisition of IHS Kuwait Limited by Zain Group is taking place.
- Middle East and Africa – Zain's operational regions, signifying the broader strategic impact of the acquisition on these markets.
Industry
- Telecommunications – The industry context of the acquisition, with both Zain and IHS operating within telecommunications infrastructure, providing shared communication towers primarily in emerging markets.
- Mergers & Acquisitions – The article discusses a significant acquisition transaction by Zain Group, involving a purchase of the remaining stake in IHS Kuwait Limited.
Financials
- $134 million – The equity value for Zain's acquisition of the remaining 70% stake in IHS Kuwait Limited.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Zain Group | Bidding Company | Company | A leading telecommunications operator in the Middle East and Africa, acquiring full ownership of IHS Kuwait Limited. |
| IHS Kuwait Limited | Target Company | Company | A licensed tower company in Kuwait, previously owned 70% by IHS Towers. |
| IHS Towers | Selling Company | Company | A global independent tower operator and seller of the remaining 70% stake in IHS Kuwait Limited. |
| FTI Capital Advisors | Financial Advisor | Company | Acted as exclusive financial advisors to Zain Group during the acquisition process. |
| PwC | M&A Advisor | Company | Provided M&A advisory services to Zain Group for the deal. |
| DLA Piper | International Legal Counsel | Company | Served as international legal counsel to Zain Group in the transaction. |
| GLA & Company | Local Legal Counsel | Company | Provided local legal counsel to Zain Group during the acquisition. |
| Bader Al Kharafi | Zain Vice-Chairman & Group CEO | Person | Spoke on the strategic significance of the acquisition, emphasizing Zain’s infrastructure expansion. |