Orange Wraps Up Niger Exit
The telecoms group Orange has announced that it has completed its exit from Niger with the transfer of its shares in Orange Niger to Zamani Com SAS which is owned by Moctar Thiam of Greenline Communications and Mohamed Rissa of Rimbo Invest.
Prior to the sale, Zamani Com SAS had held a minority share in Orange Niger, with the Orange Group holding a 95.5% stake of the company.
The decision regarding the sale of Orange's stake in the firm was reached in August this year and all parties agreed that the new owners would be allowed to use the Orange Niger brand during the transition phase.
Orange did not make public the value of the transaction and said that despite its exit from Niger, the Africa and Middle East region would remain a strategic priority for the greater Orange Group.
It attributed its exit from Niger to the market environment.
In March 2019, media reports revealed that the Orange Group was considering various options for its Niger operations which had been negatively affected by regulatory pressures stemming from both political and socio-economic uncertainty.
In addition to all those challenges, Orange Niger's poor performance was making it unattractive to potential buyers.
Aside from its drastically poor financial performance, Orange also had issues with Niger's government.
The Republic of Niger has four telecoms operators with a combined subscriber base that is less than 8 million.
The country's internet penetration rate was recorded to be at a low 19% at the end of 2018.
Credit: This article originated from www.itwebafrica.com