Airtel Africa said it has finalised the second phase of its minority investment transactions with TPG’s The Rise Fund, Qatar Investment Authority (QIA) and Mastercard, thereby raising additional $125 million through the sale of shares in its mobile money venture —Airtel Mobile Commerce (AMC) BV.
According to a press statement posted on the Nigerian Exchange Group website, the second phase of the investment transactions were finalised after certain conditions were met.
A breakdown of the transaction showed that while TPG’s The Rise Fund and QIA each invested the sum of $50 million to purchase additional shares in AMC BV, MasterCard invested the sum of $25 million.
“With the conditions for second closing having now been met, TPG and QIA have each invested a further $50m, and Mastercard a further $25m, in the secondary purchase of shares in AMC BV from a subsidiary of Airtel Africa,” said a part of the statement by Airtel Africa.
Both QIA and TPG each appointed a director to the board of AMC BV upon the first closings.
With these second closings, Airtel Africa will have received a total of $500m cumulative proceeds from the minority stake sales in Airtel Money from the three investors.
As previously reported, the proceeds from these secondary stake sale transactions will be used to reduce Group debt and invest in network and sales infrastructure in the respective operating countries.