This archive report was first published on 16 October 2019.
On October 16, 2019, Helios Towers, an African mobile networks operator, made history by pricing its initial public offering (IPO) at 115 pence per share, giving it a market capitalization of 1.15 billion pounds (Sh145 billion).
The company, which operates phone masts in the Democratic Republic of Congo (DRC), Republic of Congo, Ghana, South Africa, and Tanzania, had shelved previous plans for its IPO amid concerns about political risks in DRC and Tanzania.
Helios Towers will use the proceeds from the IPO to expand its services, including possibly into new countries. According to Kash Pandya, Chief Executive of Helios, the float signifies the company's commitment to spreading mobile infrastructure across Sub-Saharan Africa.
The company operates towers on a sale-leaseback model, which entails buying towers owned by single operators and providing services utilizing the tower infrastructure to the seller and other operators.
Helios Towers made Sh35.6 billion ($356 million) in revenues in the financial year to December 2018, which was three per cent more than Sh34.5 billion ($345 million) in 2017.
The company's shares will begin conditional trading on the London Stock Exchange on Tuesday after selling a total of 250 million pounds of shares.
Investors will be watching closely to see how Helios fares in early trading as the first post-summer IPO in London, after Kazakh fintech Kaspi.kz postponed its float last week.
