MTN Group to get 2,762 IHS Towers staff in $2.2 billion deal

MTN Group is set to absorb 2,762 employees from IHS Towers as part of its planned $2.2 billion acquisition of the tower infrastructure firm, marking a significant shift in how Africa’s largest telecom operator manages its network assets.

The company said it will guarantee salaries, bonuses, and core benefits for all incoming employees for at least one year after the deal is finalised, a move aimed at ensuring workforce stability during the transition.

The acquisition represents a strategic pivot for MTN, which has historically relied on independent tower companies like IHS to manage its telecom infrastructure. By bringing tower operations in-house, the operator is seeking tighter control over network quality, cost efficiency, and long-term expansion across its markets.

Nigeria accounts for the largest share of the workforce transfer, with 1,559 employees expected to join MTN, underscoring the country’s importance to both companies. Additional staff will be absorbed from Côte d’Ivoire, Cameroon, Zambia, and South Africa. Most of the transitioning employees are in technical roles, reflecting the engineering-intensive nature of tower operations, while smaller teams span finance, IT, and human resources.

Strategic shift as telcos rethink tower leasing model

Industry analysts say the deal reflects a broader reassessment among African telecom operators of their reliance on tower companies. While outsourcing infrastructure previously helped reduce capital expenditure, rising lease costs and operational constraints are now prompting operators to reconsider ownership.

Recent developments highlight this shift. In 2024, MTN Nigeria agreed to vacate about 1,050 tower sites under renegotiated contracts with IHS, part of efforts to cut costs. At the same time, IHS has experienced tenant exits, including thousands of site departures linked to financially strained operators.

Despite these challenges, Nigeria remains central to IHS’s business. The company generated more than $1 billion in revenue from the country in 2025, driven by new site deployments, pricing adjustments, and increased sharing of existing towers. However, macroeconomic pressures, including currency volatility and rising diesel costs, have continued to weigh on organic revenue growth.

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Ahead of the acquisition, IHS has been restructuring its operations, allowing distressed tenants to exit sites under structured debt repayment arrangements. This approach is expected to reduce financial risks for MTN once it assumes full ownership.

Integration, labour considerations, and market impact

Labour relations across IHS markets have remained largely stable, with no major industrial actions reported. However, unionised workforces in countries such as Cameroon, Côte d’Ivoire, and Zambia could influence how MTN manages the integration process.

IHS reported staff costs of $166.4 million in 2025, reflecting rising expenses across the sector as companies compete for skilled technical talent. The deal also includes hundreds of temporary workers supporting maintenance, compliance, and legal operations—roles expected to remain critical as MTN expands its infrastructure footprint.

Once completed, the transaction will result in the delisting of IHS Towers and its full integration into MTN, creating one of Africa’s largest combined telecom and tower infrastructure platforms.

The move underscores a growing trend in the telecom sector, where operators are shifting from leasing infrastructure to owning it, in a bid to gain greater operational control in an increasingly cost-sensitive and competitive market. For MTN, the acquisition signals not just expansion, but a fundamental rethink of how telecom networks are built, managed, and scaled across Africa.