FG TO REVIEW MTN’S $6.2BN IHS ACQUISITION OVER NATIONAL SECURITY, MARKET IMPACT
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By Aishat Momoh. O.
The Federal Government has announced plans to conduct a comprehensive review of the proposed $6.2 billion acquisition of IHS Holding Limited by MTN Group, citing the strategic importance of telecommunications infrastructure to Nigeria’s economy and national security.
The move follows MTN Group’s announcement of an all-cash transaction valued at $6.2 billion to acquire IHS Holding Limited, a deal that would see the tower company delisted and become a wholly owned subsidiary of the mobile network operator.
In a statement issued on Tuesday, the Minister of Communications, Innovation and Digital Economy, Bosun Tijani, said the government was closely monitoring developments in the sector.
“The Federal Ministry of Communications, Innovation and Digital Economy notes recent developments in the Nigerian telecommunications sector regarding the acquisition of IHS Towers by MTN Group,” the statement read in part.
Tijani noted that under the leadership of President Bola Tinubu, the administration had taken deliberate steps over the past two years to stabilise and strengthen the telecommunications sector as a critical pillar of Nigeria’s digital economy.
According to him, policy clarity, regulatory support and sustained engagement with stakeholders have helped restore investor confidence and improve sector performance. He added that recent financial results from key operators point to improved profitability, increased infrastructure investment and greater operational stability.
However, the minister stressed that the proposed acquisition would not be treated as routine, given the sensitivity of telecom assets.
“Given the strategic importance of telecommunications infrastructure to national security, economic growth, financial services, innovation, and social inclusion, the ministry will undertake a thorough assessment of this development in collaboration with relevant regulatory authorities to review its impact on the sector,” Tijani said.
MTN already holds a significant minority stake in IHS, one of Africa’s largest independent tower operators with tens of thousands of towers across major markets, including Nigeria. If approved, the transaction would consolidate ownership of critical passive infrastructure under Africa’s largest mobile operator by subscribers.
Industry analysts say the deal could reshape infrastructure sharing arrangements and lease pricing, particularly for smaller operators that depend on IHS towers for network expansion.
The minister reaffirmed that the government’s objective is to ensure that any consolidation protects consumers, safeguards investments and preserves the long-term sustainability of the telecommunications sector.
The review is expected to involve relevant regulators, including the Nigerian Communications Commission and competition authorities, as part of standard merger control procedures.
If cleared, the acquisition would rank among the largest telecom infrastructure transactions in Africa in recent years and signal a strategic shift by MTN from an asset-light tower outsourcing model to direct infrastructure ownership.
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