Telecommunications conglomerate Airtel Africa has disclosed intentions to repurchase $100 million worth of its shares from the market.
“In light of our consistent strong operating performance and given current leverage, the Board intends to launch a share buy-back program of up to $100m, starting early March 2024 over 12 months,” Airtel Africa’s CEO, Segun Ogunsanya, said
He added, “We continue to be well positioned to deliver on the attractive growth opportunities our markets offer and despite the challenge of rising diesel prices, ongoing currency devaluation, and inflationary pressures across some of our markets, we remain focussed on margin resilience.”
The Nigerian Stock Exchange-listed company, Airtel Africa, revealed plans for a share buyback in its 9-month financial report ending December 2023.
The buyback, scheduled to commence in March and extend over 12 months, is deemed an attractive capital use given the Group’s robust long-term growth outlook.
Airtel Africa intends to fund the program using its cash reserves, adhering to applicable securities laws. During the reported nine months, the company experienced a 9.1% growth in its total customer base, reaching 151.2 million, driven by increasing mobile data and mobile money services, resulting in a 22.4% rise in data customers to 62.7 million and a 19.5% increase in mobile money customers to 37.5 million.