France Telecom-Orange confirmed its previously-reported plan to take over Congo Chine Telecom, a mobile operator in the Democratic Republic of the Congo.

In a statement, the international group said that the move “reflects France Telecom-Orange’s international strategy, which aims to stimulate growth by entering high potential emerging markets.”

It also said it will “contribute its marketing, commercial and technical expertise as well as the Orange brand, to leverage CCT’s solid network assets.”

The company will buy 100 percent of CCT through two transactions. It will pay US$10 million to Chinese equipment vendor ZTE for its 51 percent stake in the company, with a payment of US$7 million made to the country’s government for the remaining stake.

CCT is also set to pay US$71 million to the government for “improved licence terms,” including a 10-year permit extension, access to an additional 2MHz of frequencies in the 1800MHz band for 2G services, and for 10MHz of spectrum in the 2.1GHz band for 3G.

The Congo business will be financed from internally generated funds, restructured external loads, and a US$185 million capital increase provided by its new parent in several instalments. France Telecom also said that ZTE will provide infrastructure and services to the unit as a preferred supplier, with “strategic financing support” from China Development Bank.

In a statement, the new owner said that with more than 70 million inhabitants, the Democratic Republic of the Congo is the fourth most populated African country, but has a mobile penetration rate of only 17 percent – less than neighbouring countries. CCT is said to offer “real potential for growth over the next few years.”

Stephane Richard, chairman and CEO of France Telecom-Orange, said: “The acquisition of CCT is an important step in our policy of expansion outside Europe, and contributes to our stated aim of doubling our revenues in Africa and the Middle East by 2015. Orange is already present in over 20 countries in the region and has built up considerable experience developing networks and new services that are specifically tailored to the needs of local markets.”

The transaction is expected to be completed “very shortly.”