fbpx

M&A Africa: Orange Buys Liberia’s Largest Mobile Operator Cellcom

M&A Africa: Orange Buys Liberia’s Largest Mobile Operator Cellcom

French telecom group Orange, through its subsidiary Orange Cote d’Ivoire, has acquired 100 percent stake in Liberia’s largest mobile operator Cellcom for undisclosed amount, the company announced on Tuesday.

Orange is on an aggressive expansion and restructuring program that has seen it increase its operation in some African countries while exiting others in the East African region.

“This acquisition is part of the international development strategy of Orange, which aims to accelerate its growth by entering new emerging markets with high potential,” the company said in a statement.

The acquisition “will enable Orange to strengthen its positions in Africa, which is a strategic priority for the Group”.

U.S. headquartered Israeli owned Cellcom Telecommunications Ltd. is one the five mobile operators in Liberia and has a market share of about 45 percent with 1.3 million subscribers.

While many African telecoms markets are quickly getting saturated with mobile operators, penetration in Liberia — a country recovering from decades of civil war — is still low at just 66 percent of its 4.3 million people.

“Cellcom has excellent potential for growth over the coming years,” Orange said the statement.

Completion of the Orange-Cellcom deal is subject to approval by Liberian regulatory authorities.

Orange is also in talks with India’s Bharti Airtel about acquiring its businesses in Burkina Faso, Chad, Congo Brazzaville and Sierra Leone.