MTN Group plans to sell off $243m stakes in Jumia

MTN Group plans to sell off $243m stakes in Jumia

MTN Group is planning to sell part or all of its $243 million interest in Jumia Technologies AG. This is part of the telco’s effort to raise funds to pay down debt and enter new frontiers.

Jumia, popularly called Africa’s Amazon, operates in 14 African international locations which include Nigeria and Ivory Coast, where Jumia Technologies AG still lacks distribution infrastructure.

MTN would be taking advantage of the fact that Jumia’s shares have gained about 142% so far in 2020, recovering from its record lows in 2019.

MTN Group plans to sell off $243m stakes in Jumia

MTN, which had earlier marked the online retailer as a non-core business, is enlivening plans for a sale after Jumia’s shares pitched 142 per cent this year, recuperating from a dip in 2019. Although, no end choice about the sale has been made, due to the fact the plans are private, Bloomberg reports.

MTN Group additionally has a 29 per cent stake in IHS Towers, which it can also liquidate in the future.

Meanwhile, Africa’s biggest wireless service by footprint has generated $812 million in sales of assets that included selling its towers holdings in Ghana and Uganda to American Towers Inc.

The company plans include the bid for a permit to enter Ethiopia, one of the biggest markets in Africa that are to privatize its telecommunications industry.