Airtel Africa Eyes $2 Billion London IPO for Airtel Money

Airtel Africa Plc is evaluating an Initial Public Offering (IPO) of its mobile money business, Airtel Money, as per a Bloomberg report.  

The proposal is at an early stage, and decisions on structure, timing and size have not been finalised. The company has been preparing for a potential separation and listing of the unit following sustained growth in the segment. 

Potential Listing in London 

London has emerged as the leading option for the proposed listing. Earlier discussions had included exchanges in the United Arab Emirates and other European markets.  

The final choice of venue remains under review. Airtel Africa is already listed in London and Lagos, which may support the case for a UK listing. 

Fundraising and Valuation Range 

The IPO could raise between $1.5 billion and $2 billion, according to the reports. The mobile money unit may be valued at up to $10 billion.  

At this level, the transaction would rank among the larger listings seen on European exchanges in recent years. Final terms remain subject to change. 

Financial Performance and Scale 

The mobile money business has reported growth in both revenue and customer base. For the 9 months ended last year, revenue increased by 29.4% to $986 million.  

The user base exceeded 52 million during the period. The service operates across 14 countries, showing demand for mobile-led financial services in the region. 

Investors and Advisory Role 

The unit has received backing from investors including TPG Inc. and Mastercard Inc., along with an affiliate of Qatar’s sovereign wealth fund. Citigroup Inc. is advising on the IPO, and additional banks may be appointed. No official comments have been issued by the companies involved. 

Ownership and Group Holdings 

Airtel Africa is controlled by Sunil Mittal through Bharti Enterprises Ltd. The group also holds interests in Bharti Airtel Ltd and OneWeb. It also owns a 24.5% stake in BT Group Plc. 

Read More: SBI Funds Management Files DRHP For IPO: India’s Largest AMC Prepares For Market Debut! 

Timeline 

The company had earlier indicated a possible listing by mid-year, though this timeline now appears uncertain. Airtel Africa is expected to report its full-year results on 8 May, which may provide further operational updates. 

Conclusion 

The proposed IPO remains at a preliminary stage, with decisions on size, timing and listing venue yet to be finalised. Further updates are expected alongside upcoming results. 

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