As I have written many times, Airtel Africa is doing all to win Africa. With asymmetric Jio success, India is largely out of reach. Yes, the future of Airtel, the Indian telecom giant, cannot be decoupled from Africa. To win that competition, Airtel needs lots of cash. And it has been collecting them after that transformation where it became a quasi financial institution that offers telecom services. Besides the $1.25 billion it picked from many investors including SoftBank and Temasek, in October 2018, it has added another $200 million this year, from Qatar Investment Authority.
Airtel Africa, a subsidiary of Indian telecommunications company Bharti Airtel which services 15 African countries, will receive an investment of USD 200 million from the Qatar Investment Authority (QIA) through a primary equity issuance in the company.
The funds will primarily be used to reduce Airtel Africa’s debt, which currently stands at approximately USD 3.7 bn, and in the process also strengthen Bharti Airtel’s consolidated books.
“We are excited to welcome Qatar Investment Authority as a long-term strategic equity partner. This transaction will not involve any sale of shares by existing shareholders,” said Airtel Africa according to The Economic Times, India. “The QIA said it looks forward to supporting Airtel’s vision in building a world-class business in the African continent.
This will all work out as I have predicted: immersive connectivity in Nigeria by 2022.