Rostam Aziz is the new owner of Tigo, Zantel
What you need to know:
- Axian Group of Madagascar said in a statement yesterday that in partnership with Mr Aziz, it has closed the acquisition of Tigo and Zantel in Tanzania
- In September 2019, Rostam Aziz earned Sh499.8 billion after selling his 26.25 percent stake - which was held in form of 588 million shares under ‘Mirambo Holdings’ - in Vodacom Tanzania Plc – through the Dar es Salaam Stock Exchange (DSE) yesterday.
Dar es Salaam. Almost two years since selling his shares in Vodacom Tanzania, tycoon Rostam Aziz has now set his foot on Tigo and Zantel.
Axian Group of Madagascar said in a statement yesterday that in partnership with Mr Aziz, it has closed the acquisition of Tigo and Zantel in Tanzania.
Prior to the $100 million deal, Tigo and Zantel were owned by the Nasdaq (New York City) and Stockholm (Sweden) listed telecom firm, Millicom International Cellular S.A. (Millicom).
“The consortium led by Axian Telecom and Mr Rostam Aziz announced today it has closed the acquisition of Millicom’s merged entity MIC Tanzania Public Limited Company (Tigo and Zantel) in the United Republic of Tanzania. The transaction brings approximately 14 million mobile customers to Axian Telecom and accelerates the development of the group in Africa which now operates in eight markets,” the statement reads.
In September 2019, Rostam Aziz earned Sh499.8 billion after selling his 26.25 percent stake - which was held in form of 588 million shares under ‘Mirambo Holdings’ - in Vodacom Tanzania Plc – through the Dar es Salaam Stock Exchange (DSE) yesterday.
In 2014, Aziz sold off a 17.2 percent stake in Vodacom Tanzania to Vodacom South Africa for a reported $240 million. At the time, Aziz held the shares via Cavalry Holdings, a Jersey island-registered private investment company.
In its statement, Axian Group quotes its chairman, Hassanein Hiridjee as saying that the company would accelerate the digital inclusion and open access to innovative services for clients while supporting economic growth.
“We’re delighted to start this exciting journey with our colleagues here and I believe together we will achieve great things and contribute to shaping the digital future of the country. We express our gratitude to the Government of the United Republic of Tanzania and the Revolutionary Government of Zanzibar for helping us bring this transaction home, and look forward to continuing to work alongside them,” he said.
The statement quotes the incoming chairman of Mic Tanzania Plc, Mr Aziz as saying that when he began the telecoms adventure more than twenty years ago, the issue was connectivity.
“We were pioneers in building mobile coverage, especially in rural areas, that so many of my fellow Tanzanians now enjoy. Looking forward together with Axian Telecom, we will push the boundaries of digital inclusion while zooming in on specific customer solutions for Tanzanian people and businesses,”
The consortium by Axian Telecom and Mr Rostam Aziz has promised to support the country’s digital transformation and its access to submarine cables to enable faster connections.
Other plans is to provide affordable services, using international experience to provide world-class mobile financial services and develop and nurture local talents
Support the digital transformation of the country with the deployment of cutting-edge technologies and services benefiting Tanzanian consumers and businesses alike.
The deal includes strategic ownership in the EASSy cable landing station in Dar es Salaam and a consortium network with over 3,200km of backbone and over 600km of metro fibre.
The Axian-led alliance said it plans “to significantly increase the coverage of Tigo Tanzania and Zantel, especially for 4G network” and to “extend access to affordable mobile services and accelerate digitalisation in the territory”.
