Globacom mulls sale of Ghana, Benin, Ivorian units - report

Mergers, Acquisitions and Financial Results

Globacom is said to be assessing plans to reduce some of its telecommunication holdings, which could include subsidiaries in Ghana, the Republic of Benin or Cote d'Ivoire, TMT Finance reported, citing sources. Globacom, which operates under the Glo banner, operates in four West African countries, with Nigeria its largest and most profitable business. Glo is Nigeria's second largest mobile player behind MTN. The group has been in expansion mode across Africa, and is still seen as a buyer rather than a seller, sources noted.

However, they said Globacom could be persuaded to sell some of its less profitable assets, including Glo Ghana, which has been struggling to get a real foothold in the market. Should Globacom seek an exit, it is likely that it could turn to BNP Paribas for advice, as the bank was previously picked to advise CEO Mike Adenuga on his oil businesses, one banker said. TMT Finance commented that bankers have previously attempted to persuade the group to sell its Nigerian business, but to no avail so far.