MTN to sell stake in Belgium telecoms operator for $121.41m

Posted by News Express | 10 February 2021 | 413 times

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South Africa’s MTN Group said on Tuesday it will sell its 20% shareholding in Belgacom International Carrier Services SA (BICS) to Belgian state-controlled telecoms firm Proximus for 1.8 billion rand ($121.41 million).

MTN is in the midst of a 25 billion rand divestment plan aimed at reducing debt, simplifying its portfolio and improving returns over the next three to five years.

Proximus is the majority owner of BICS, whose equipment handles global calls, text and internet traffic across the world. Another minority owner, Swisscom is also selling its 22.4% stake in BICS to Proximus it said on Tuesday.

MTN said it intends to use the proceeds to pay down U.S. dollar debt and for general corporate purposes. At Sept. 30, group net debt was 60.6 billion rand.

MTN will record a profit on the disposal of around 1.2 billion rand during the first half of 2021, it added. (Economic Times)

Source: News Express

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