The majority of those acquisitions are anticipated in 2024
and 2025, with an extension until 2031 for existing tenancies covering
approximately 6,000 sites.
According to a statement from the firms, the agreement
comprises 2,500 collocations, 5G amendments, and the creation of built-to-suit
sites owned and operated by IHS Nigeria.
They noted that the deal simply meant Airtel would be
installing and operating its network equipment in locations owned by HIS.
Instead of constructing and maintaining its infrastructure,
Airtel is opting to leverage IHS’s established facilities for five years.
The Chairman of IHS Towers, Sam Darwish, said, “The
expansion and renewal of our relationship with Airtel Nigeria is a testament to
our continued commitment to serving our customers and the connectivity demands
of Africa.
“Airtel Nigeria, as well as Airtel Africa, whom we serve in
other markets in Africa, has been a long-term partner of IHS, and I am
delighted that we continue to strengthen our collaboration to help facilitate
mobile connectivity in our largest market, supporting our customers in rolling
out new sites throughout Nigeria.”
A year ago, Airtel Africa paid $316.7m for the 5G spectrum
it won in December 2022 and an additional 4G spectrum.
The telecom operator said the additional spectrum would
boost its investments in network expansion for both mobile data and fixed
wireless home broadband capability, including 5G rollout.
The Chairman of Airtel, Sunil Mittal, said the company was
willing to invest $700m in the country in the next two years as it rolls out
the 5G network.
“To roll and experience the 5G and more fibre into the
ground and data centres will require over $700m in order to achieve that, so,
$400m is what we generally invest every year, but with 5G the investment is
only going to go up for the next two or three years before it comes back to
what it used to be,” Mittal added.