Paradigm Tower Ventures struck a deal with IHS Towers to buy its business in Rwanda, which includes around 1,465 sites, as it aims to take advantage of what it deems high demand for shared infrastructure in the country.
The $274.5 million deal is subject to regulatory approval and is expected to close in the second half.
IHS Towers positioned the agreement as a good one for the company, pointing to the sum being a “significant premium” on current valuation multiples across its business.
CEO Sam Darwish added the deal was “carefully considered as part of our strategic initiatives targeted at shareholder value-creation options and highlights the value of our Rwanda operations within our wider portfolio”.
Should it go through, the deal will be the first by Paradigm Tower Ventures, a division of Paradigm Infrastructure set up with the remit of building shared wireless infrastructure in sub-Saharan Africa.
Discussing the rationale behind its first investment, Paradigm Tower Ventures co-founder Stephen Harris said “Rwanda represents an exciting market with high demand for shared wireless infrastructure”.