Bharti Airtel informed that the Government of Ghana's takeover of ownership of AirtelTigo has been completed, the company informed in a regulatory filing to the Bombay Stock Exchange.
"This is in further to our announcement dated October 27, 2020, and April 16, 2021, regarding the Government of Ghana's takeover of ownership of AirtelfTigo Joint Venture. We wish to update you that the transaction has been completed and 100% shares of Airtel Tigo have been transferred to the Government of Ghana," Bharti Airtel stated in the filing.
AirtelTigo is a joint venture between Bharti Airtel and telecom operator Millicom International Cellular SA, which jointly operated in the country. The Indian telecom operator owns a 49.95 per cent stake in the joint venture. The joint venture was finalised in 2017.
The transaction implies that AirtelTigo would now operate as a state-owned entity of the Government of Ghana. As per the terms of the transaction, 100 per cent of shares of Airtel Tigo have been transferred to the Government of Ghana.
"The unsustainable non controlled JV will be handed to the Government of Ghana, who are committed to reviving the company making suitable investments etc. and operate the company while protecting the interests of the customers, employees of the company and all other stakeholders," Bharti Airtel had stated in its statement on April 16.
The transfer which was agreed on a 'going concern basis, states that the sovereign would also acquire all customers, assets and liabilities of the joint venture.
The company had stated in its September-end quarter results that its Ghana operations had about 5.1 million customers.