The fund, which is coming through International Finance Corporation (IFC), the private sector arm of the Bretton Woods institution, would enhance IHS’s efforts to build and acquire mobile phone towers in Nigeria and sub-Saharan Africa, thereby reducing communications cost across the region.

THISDAY gathered that the World Bank investment, which is subject to regulatory approval, came after the signing of an agreement between Investec Asset Management (via its African private equity funds), IFC and the Netherlands Development Finance Company (FMO).

IHS is one of the largest telecommunications infrastructure providers in West Africa with more than 2,700 towers under management and is aggressively expanding its ownership and leasing operations throughout Africa.

The company owns, manages, and leases space on its mobile towers to telecom companies, helping to bring down costs, expand coverage, accelerate technology rollouts and improve the quality of service for subscribers in Africa.

Commenting, Executive Director, IHS, Issam Darwish, said “IHS is dedicated to partnering with operators and investors across the African continent and is thrilled to add the IFC, FMO and Investec Asset Management’s private equity fund to our shareholder base. Since 2001, the Company’s core strategy has been to serve the growing needs of the telecommunications operators in Africa and enhance the quality of the network performance.”

Darwish noted that the investors understood the unique needs of the growing telecoms sector and the changing competitive landscape.

He explained that, “the additional financing package also include up to $115 million of IFC-led senior debt, mezzanine and syndicated loans, which will allow us to continue our leadership role in providing managed and co-location services to mobile operators and users in Africa.”

Director Private Equity of FMO, Yvonne Bakkum, said "access to telecommunications continues to be essential for the economic and social development of Africa. IHS increases the efficiency and quality of existing networks and helps operators accelerate network expansion into rural areas. FMO is proud to contribute to this through our investment in IHS, alongside Investec and IFC."

IFC’s Senior Manager, Infrastructure and Natural Resources in African and Latin America, Andrew Gunther, said “broadening access to affordable mobile tele-communications services remain crucial part of development across Africa. IHS’ track record of improving quality while reducing costs will continue to provide savings that benefit all constituents of telecommunications in Africa.

“With this investment, IFC is helping improve quality of service, expand network coverage, reduce deployment, operating and usage costs – while accelerating the innovation that governments and operators can deliver throughout Africa,” he added.

http://www.thisdaylive.com/articles/telecoms-infrastructure-his-gets-n12bn-from-w-bank/86571/