Airtel’s $2.4 billion push  for 4G in Africa

Johannesburg: With its Indian wireless business under pressure from competitors Reliance Jio and Vodafone-Idea, Bharti Airtel Ltd has decided to double down on its Africa unit and will spend close to $2.4 billion to expand its high-speed 4G data network across the continent, according to sources.

The telecom operator is also preparing for an IPO of its Africa unit around June after the company raised $1.25 billion in pre-IPO fundraising from large investors.

“Africa has good prospects. Data is just about starting in Africa. We will take a lead in 4G in Africa. Bharti will spend about $700-800 million a year over 2-3 years to expand 4G services and this money will come from the Africa operations itself,” said a source, as reported by LiveMint.

Airtel Africa, the holding company for Bharti Airtel’s operations in 14 countries in the continent, currently offers 4G services in 10 of these nations. By expanding its 4G footprint in the continent, Bharti Airtel is looking to steal a march on its main continental rival South Africa’s MTN. Bharti established its presence in Africa by buying Kuwait-based Zain’s Africa operations for $10.7 billion in 2010.