The decision to sell its tower assets in Tanzania, making a fortune of $159 million has led to a surge in Airtel Africa’s market capitalization as its share value hit an All-time high with investors making over N358.90 billion in profits.
Airtel Africa’s gain was also triggered by a 9.09 percent appreciation in the equity value of the Bharti Airtel subsidiary at the end of trading. The stock previously cost N955 per share, but settled at N1050.5.
This pulled up Airtel Africa’s market capitalisation to N3.94 trillion, moving shareholders total investment up from Tuesday’s N3.58 trillion – adding N358.90 billion to investors’ coffers, Ripples Nigeria analysis showed.
SBA Communications Corporation and Paradigm Infrastructure Limited purchased the assets, and they are expected to make a second batch of payment, to bring the total acquisition fee to $176.1 million.
Meanwhile, during the same day, MTN Nigeria shareholders left the capital market empty handed, as the y’ello stock traded flat for the second day in a row since resuming from the New Year break.
This means investors of the MTN Nigeria equity haven’t made a gain this year, and their investment remains in the position it was by December 31, 2021, as stock prices stagnated at N197 per share, while total shareholders’ investment was stuck at N4 trillion.
Airtel Africa’s gain shrank the space between it and MTN on the most capitalized companies in the Nigerian Exchange Group, with N61.90 billion, representing 1.5 percent difference separating both network providers.
