AFRICAN mobile network operator Helios Towers plans to raise £100 million by issuing new shares in London.
With the latest announcement, Helios has revived its plan to list in the British capital, a year after having pulled out its floats.
According to an announcement made on Thursday (12), at least 25 per cent of the business will be floated on the London Stock Exchange (LSE), while the initial public offering (IPO) will be coordinated by Bank of America Merrill Lynch, Jefferies and Standard Bank.
The company added that the existing shareholders would also be selling shares.
Helios aims to use the cash to expand its market by building and acquiring new sites.
Helios Towers Chief Executive Officer Kash Pandya told the Telegraph that the sub-Saharan telecoms market was one of the most "high growth [market] in the world", citing growing demand for voice and data services among an "increasingly urbanised population".
The new parent company, which will be listed on LSE, will be chaired by Sir Samuel Jonah.
Jonah is also the chairman of South African investment holding company Jonah Capital.
The company dropped its previous plans for a listing in March 2018, amid concern about political risk in the Democratic Republic of Congo (DRC) and Tanzania, according to media reports.
The company’s first-half revenue increased seven per cent year-on-year to approximately £153 million ($191m), for the six months to June.
Helios operates some 7,000 telecommunications towers in countries such as South Africa, the DRC, and Ghana.
It owns and operates more sites than any other operator each in Tanzania, the DRC, and Congo Brazzaville.
The firm is also a leading operator in Ghana with a strong urban presence and has recently announced entry into South Africa.
Debt interest payments rose to £9.7bn, up £3.8bn from a year earlier.
Borrowing for the first six months of the financial year hit £99.8bn.
Public sector debt now stands at around 95.3% of GDP.
UK GOVERNMENT borrowing in September reached £20.2bn, the highest September total in five years, the Office for National Statistics (ONS) said.
That was up £1.6bn from September last year. Higher debt interest payments offset increased receipts from taxes and national insurance, the ONS said.
Borrowing over the first six months of the financial year stood at £99.8bn, up £11.5bn from the same period last year.
September’s figure was slightly below some analysts’ expectations of £20.8bn but just above the Office for Budget Responsibility’s March projection of £20.1bn.
The government paid £9.7bn in debt interest in September, up £3.8bn from a year earlier. Public sector debt is estimated at 95.3% of GDP.
Capital Economics chief economist Paul Dales told the BBC’s Today programme the chancellor would "love tax receipts to be higher" but that it would depend on faster growth in the economy.
Capital Economics projects the government will need to raise £27bn in the Budget, with "higher taxes on households having to do the heavy lifting". Chief Secretary to the Treasury James Murray said the government would "never play fast and loose with the public finances" and aims to reduce borrowing to cut "costly debt interest, instead putting that money into our NHS, schools and police".
Shadow chancellor Mel Stride said borrowing was "soaring under this Labour government" and that "Rachel Reeves has lost control of the public finances and the next generation are being saddled with Labour's debts."
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