Airtel Africa
plc
('Airtel
Africa', or the 'Company')
Commencement of share
buy-back programme
London and Lagos, 1 March 2024: Airtel Africa, a leading provider of telecommunications and
mobile money services, with a presence in 14 countries across
Africa, announces the commencement of its share buy-back programme,
further to its announcement on 1 February 2024 following the
publication of its nine-month results ended 31 December
2023.
The share buy-back will commence
today and will return up to $100 million to shareholders over a
period of up to 12 months.
The share buy-back programme is
expected to be phased over two tranches, with the first tranche
commencing today and anticipated to end on or before 31 August
2024. The first tranche will amount to a maximum of $50 million.
The Company has entered into an agreement with Citigroup Global
Markets Limited ("Citi") to conduct the first tranche of the
buy-back and carry out on-market purchases of its ordinary shares
with the Company subsequently purchasing its ordinary shares from
Citi. Under this agreement, Citi will act as riskless principal and
will make decisions independently of the Company.
The sole purpose of the buy-back
programme is to reduce the capital of the Company. As such, all
shares purchased under the buy-back programme will be
cancelled.
This buy-back programme reflects the
significant progress made in recent years to reduce leverage and
strengthen the Company's balance sheet. In light of the cash
accretion at the holding company level, the current leverage and
the consistent strong operating cash generation, the Company is
well positioned to undertake this share buy-back to enhance
shareholder returns which is consistent with its existing capital
allocation policy.
Further details of the share buy-back
programme
Any purchases of ordinary shares
under the buy-back programme will be carried out in accordance with
certain pre-set parameters set out in the agreement with Citi and
in accordance with (and subject to the limits prescribed by) the
Company's general authority to repurchase ordinary shares granted
by its shareholders from time to time (at the annual general
meeting on 4 July 2023, shareholders gave the Company authority to
purchase a maximum of 375,815,150 ordinary shares), Chapter 12 of
the Financial Conduct Authority's Listing Rules and the provisions
of the Market Abuse Regulation (EU) No 596/2014 (as it forms part
of domestic law by virtue of the European Union (Withdrawal) Act
2018, as amended). Purchases may continue during any closed periods
of the Company during the engagement period. For the avoidance of
doubt, no repurchases will be made on the Nigerian Stock
Exchange.
The Company intends to enter into
arrangements to commence a second tranche of the share buy-back
programme in an amount of up to $50 million in due
course.
-ENDS-
Enquiries
About Airtel Africa
Airtel Africa is a leading provider
of telecommunications and mobile money services, with a presence in
14 countries in Africa, primarily in East Africa and Central and
West Africa.
Airtel Africa offers an integrated
suite of telecommunications solutions to its subscribers, including
mobile voice and data services as well as mobile money services
both nationally and internationally.
The Group aims to continue providing
a simple and intuitive customer experience through streamlined
customer journeys.
www.airtel.africa