Eaton Towers signs 15 year tower management deal with Telkom Kenya and announces new equity financing

Mergers, Acquisitions and Financial Results

Eaton Towers, a leading pan-African tower company, this announced that it has signed a deal with Telkom Kenya covering its existing portfolio of over 1,000 towers. The fifteen-year management and leasing deal is focused on both the maintenance of existing sites and building new sites and extends Eaton Towers’ partnership with the Orange Group following the 2012 deal with Orange Uganda.

Eaton Towers also announces the successful completion of its third round of equity financing, provided by majority shareholder Capital International Private Equity Fund (CIPEF) and its co-investment limited partners.

Integrated telecommunications services provider, Telkom Kenya, operates Orange's mobile and fixed-line telecommunications services in Kenya. Telkom Kenya will retain ownership of its existing portfolio of over 1,000 towers while Eaton Towers will invest in passive infrastructure upgrades and build new towers to provide Telkom Kenya with improved coverage and network quality. In parallel, the partnership will create a solid platform that will allow Telkom Kenya to focus on developing value-added services such as innovative data offers as well as an enhanced customer care experience.

For Orange, the partnership represents an important step forward in the Group's overall efforts to improve efficiency and control operating costs across its footprint in Africa. Sharing passive infrastructure is a key part of this strategy and similar deals have already been struck in Uganda, Cameroon and Côte d'Ivoire.