Independent infrastructure company IHS Towers launched an IPO seeking a valuation of more than $7 billion after offering 22.5 million shares, which could prove to be the largest listing by an African company in the US.
In a filing made to the US Securities and Exchange Commission, IHS said it was seeking a price of between $21 to $24 a share, with the group offering 18 million shares of its own in addition to 4.5 million offered by certain selling shareholders.
The tower operator, which is 29 per cent owned by Africa operator MTN and controls 30,000 masts across five countries in the continent, in addition to holding a presence in the Middle East and South America, expects to raise around $380 million in net proceeds, should it achieve the middle offering price range valuation.
Goldman Sachs and French private equity investor Wendel also hold stakes in the company.
IHS’ listing comes as operators in Europe, Africa and Asia look to monetise their towers and sell off assets to specialist tower company and investors, cashing in on demand for infrastructure investments.
MTN values its stake in IHS at around £2 billion, but has indicated it wants to trim this down as part of a strategy to scale back the company.
Separately, the company said in a statement it would list 20 per cent of its Ugandan unit on the country’s stock exchange, as it looks to allow more local investment and follows similar moves in Nigeria, Ghana and Rwanda.