Project detail - IHS RWANDA LTD


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Who is our client

IHS Rwanda is a recently established subsidiary of IHS Mauritius Rwanda Limited, which itself is a 100% subsidiary of IHS Holding Limited, an existing client of FMO. IHS has signed an agreement with market leader MTN Rwandacell to purchase, lease-back and operate all of its 556 cellular telecom towers and rooftop antennas and agreed to purchase, lease-back and operate the 171 Bharti Airtel and 212 Millicom Tigo cellular telecom towers in the country.

Funding objective

FMO, IFC and a local commercial banking consortium led by Ecobank are financing the acquisition, rehabilitation and expansion of the above portfolios, with the objective of helping establish a common mobile telecom infrastructure platform in Rwanda. This investment should improve efficiency and will result in higher quality of services.

Why we fund this project

Tower sharing allows cellular operators to reduce their capital expenditure and operating costs, leading to more profitability and taxes. Tariffs can also be decreased, as operators aim to further expand their customer base and through increased penetration. Tower sharing also leads to a reduction in environmental footprint, as each tower shared avoids a new one being built and requires less power compared to two stand-alone towers. IHS expects to decommission 118 sites and aims to reduce diesel consumption to 51% by 2015.

Infrastructure, Manufacturing and Services
Signing date
Total FMO financing
USD 20.00 MLN
Risk categorization on environmental and social impacts, A = high risk, B+ = medium high risk, B = medium risk, C = low risk Environmental & Social Category
(A, B+, B or C)