MTN Nigeria has renegotiated its lease agreement with IHS Towers, a London-based company, to cover over 13,500 tower tenancies until December 2032. This includes renewing 1,430 tenancies with MTN Nigeria, though 2,500 will expire at the end of 2024.
The new deal includes adjustments for fluctuations in diesel prices and foreign exchange rates. It is part of a broader renewal of tower lease agreements across Nigeria, strengthening the partnership between MTN and IHS Towers.
The renegotiation, which started on April 1, 2024, aims to extend all current contracts to December 31, 2032, and address macroeconomic risks and MTN’s financial challenges. The move follows a revenue decline in the first quarter of 2024.
MTN Nigeria CEO Karl Toriola expressed optimism about the deal in the company’s H1 2024 report, noting the $1 billion investment in national priorities and progress in improving capital position through tariff increases and reduced USD exposure.
IHS Towers, founded in 2001 by Sam Darwish, operates over 20,000 towers globally, including 16,000 in Nigeria. The company renewed its agreement with Airtel in February 2024, adding nearly 10,000 tenancies over the next five years.
