Africa's leading telecom operator MTN announced on Monday that it was now a majority shareholder in MTN Rwanda after acquiring the 25 percent owned by the government and private company Crystal Ventures Limited. The move positions the South African operator to push forward on continued expansion plans across the continent and into a robust market in Rwanda, analysts said. “This is a solid move and one that should see benefit from Rwandan users and MTN as a company,” began William Ragati, a telecom analyst at a local securities firm in Kigali. “We are looking at the deal as a mutual benefit for both Rwandans and business.” Crystal ventures which had owned 35 percent in Rwanda's leading mobile operator remains a minority shareholder with 20 percent, while the government is completely removed from the company. Rwanda's Minister of Finance and Economic Planning John Rwangombwa recently said that the government was targeting Rf25 billion (US$42.3million) from the sale of its shares in MTN and Bank of Kigali, a local leading commercial bank. The sale of additional stakes in MTN Rwanda to its parent company comes following licensing of India's Bharti Airtel to operate in Rwanda. The firm promised to offer affordable and innovative products and to invest $100 million over the next three years. MTN Rwanda is now the leading mobile operator in Rwanda with more than 2.7 million uses representing a market share of 66.6 percent. The entry of Airtel expected early next year, is expected to open real competition. BM
