A new company called Pan African Tower Company Limited, has made its debut on the African continent with initial operations from West Africa and Nigeria and spreading to all parts of Africa. The tower company will serve over 70 per cent of mobile network operators in Africa and help to accelerate African strong appetite for broadband penetration, which is a major focus of most African governments to accelerate growth and improve GDP.
The African continent will need over one 100,000 additional towers in the next five years to bridge current gap in service quality and roll out of 4G LTE and 5G broadband technology services. The Pan African Tower company plans to have up to 35,000 mobile towers within the next five years to bridge this gap. This will be achieved through both creative, not traditional sale; leaseback of tower sites and modern build to suite with Green technology at a very low cost taking advantage of current advancement in technology and alternative energy solutions.
The Executive Director, Pan African Tower Company Limited, Mr. Sohail Haider, said: “The initiative is expected to offer unparalleled value to mobile operators in terms of low lease rate which are index in local currency to hedge against African currency volatility against dollar and match most Mobile Network Operators (MNOs) revenue currency which is mostly local and by extension value to telecoms consumers.”
With a projected portfolio of about 35,000 towers, Pan African Tower Limited will be the biggest tower company on the African continent with a holding company in Seychelles. This will be a relief to Mobile Network Operators who are currently operating under high operating cost due to dollar-based lease payment for mobile towers across Africa, from the existing independent tower companies with old technologies and outdated business models, Haider said.
This is a welcome development to help Africa accelerate the much needed growth, create healthy competition and deliver value for stake holders most especially telecoms consumers for education, health, agriculture and businesses which is an essential factor in real economic development, poverty reduction and GDP growth.
The company with innovative business model will be supported majorly by FDIs and institutional investors from Asian Pacific region, Europe and Africa, Haider added.