IHS Towers Sells Kuwait Operations to Zain Group for $230 Million, Strengthening Financial Position

### Strategic Portfolio Optimization: IHS Towers' Sale of Kuwait Operations

IHS Holding Limited, operating under the name IHS Towers, has solidified its commitment to optimizing its portfolio through a definitive agreement to sell its 70% stake in IHS Kuwait Limited to Zain Group. This substantial transaction, valued at approximately $230 million, encompasses around 1,675 sites owned by IHS, alongside an additional 700 managed sites in Kuwait. The deal, which reflects a transaction multiple of 14.2 times the adjusted EBITDA after leases, indicates a strategic move to enhance shareholder value and underscores the strong market position of IHS Towers within the telecommunications infrastructure sector. The sale is expected to close in the first half of 2025, contingent on regulatory approvals.

This divestiture aligns with IHS Towers’ broader strategy to strengthen its balance sheet by focusing on debt reduction. According to Sam Darwish, the Chairman and CEO of IHS Towers, the proceeds from this sale will primarily target debt alleviation, which is crucial for improving the company's net leverage. By streamlining its operations and enhancing financial stability, IHS Towers aims to create a more robust foundation for future growth. The company, recognized as a leading independent developer of shared communications infrastructure globally, boasts over 40,000 towers across ten markets, including high-growth regions like Brazil and Nigeria.

The acquisition by Zain Group, a prominent telecommunications operator in the Middle East and Africa, not only highlights the value of IHS Towers’ assets but also positions both companies for enhanced growth in the telecommunications sector. With 47.2 million active customers as of September 30, 2024, Zain Group is well-positioned to leverage the expanded portfolio to meet the increasing demand for mobile voice and data services in Kuwait and beyond. This transaction marks a significant milestone for both IHS Towers and Zain Group, reflecting the dynamic nature of the telecommunications infrastructure landscape.

In addition to this strategic sale, IHS Towers continues to focus on expanding its presence in emerging markets, where demand for telecommunications infrastructure is rapidly growing. The company’s proactive approach in divesting non-core assets while enhancing its financial position demonstrates its commitment to long-term growth and shareholder value. As the telecommunications landscape evolves, such strategic maneuvers will play a pivotal role in shaping the future of both IHS Towers and its partners in the industry.