Category: Hardware Created on Wednesday, 07 December 2011 15:30 Published Date
from ALLOYCE KIMBUNGA in Arusha, Tanzania
ARUSHA, (CAJ News) - SOUTH Africa’s Standard Bank Group said its multimillion-dollar investment in Helios Towers Tanzania highlighetd its commitment to contribute towards the development of infrastructure in Africa.
On Tuesday, the bank announced it had completed a senior secured syndicated financing worth US$85million for the Tanzanian firm.
The funds are available to finance the next phase of its network of telecommunications towers across Tanzania.
Bashir Awale, Stanbic Bank Tanzania Managing Director, said the transaction demonstrated Stanbic Bank Tanzania's capability to provide funding for the right projects such as infrastructure development.
"As a lead co-arranger, we have demonstrated once again our ability to mobilize funds from local financial institutions with whom we enjoy strong relationships.
“Our experience in Investment Banking and local knowledge of the Tanzanian market allows us to successfully execute highly structured transactions.
"A special thanks to National Micofinance Bank Plc, Bank of Africa Tanzania Limited and International Commercial Bank (Tanzania) Limited who have come in as original lenders on the local tranche," said Awale.
Tanzania, with more than 21 million mobile subscribers as of September 2011 is a top ten mobile market in Africa and one of the continent's fastest growing wireless markets; its current subscriber penetration is estimated to be 46 percent and is expected to grow to 66 percent by 2015.
Tower sharing is a fast growing subset of the mobile telecommunications sector in Africa, bringing significant capital expenditure and operating cost savings for mobile operators that can be passed onto consumers who benefit from improved network quality and enhanced coverage.