JOHANNESBURG – THE MTN Group is to acquire a major stake (49 percent) in Iranian fixed broadband provider, Iranian Net, for R540 million (US$39,8 million).
The South African-headquartered group has signed a non-binding preliminary agreement that would culminate in it make further investments of approximately R3,4 billion in both equity and loans to facilitate Iranian Net meet its rollout targets over the next five years.
The preliminary agreement remains subject to finalising suitable transaction agreements.
Iranian Net has a national licence for the construction and operation of an optical data transmission network and fibre optic access network across the Asian country.
According to MTN, the investment represents an opportunity to capitalise on the continued strong growth expected in the Iranian broadband market, with an initial focus on eight of the main cities.
– CAJ News