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Millicom starts mobile service in Rwanda
20 November 2009
Millicom has launched its Tigo brand in Rwanda, after spending $120 million on licences and network — including 3G services — and selling off its Asian operations
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[Millicom]
[Rwanda]
[Tigo]
[MTN]
[Rwandatel]
[VimpelCom]
[Etisalat]
Comment: Having divested itself of its Asian operations for $350 million, industry pioneer Millicom is now investing in the potentially high-growth markets in Africa. Millicom originally held 15% of the partnership that became Vodafone — but it has been focusing its interests on Africa and Latin America for some time.
Millicom International Cellular has introduced its mobile phone services operation in Rwanda. The company, which has invested nearly $120 million on licences and network, is the third telecom operator in Rwanda.
Millicom, which operates under the Tigo brand, has paid $67 million for an operating licence, said CEO Alex Kamara. The company has also spent another $53 million to roll out a 3.5G network across the provinces of the central African country.
The company has got approval from the Rwanda Utilities Regulatory Agency to start its operations.
Millicom also has its ventures in Tanzania, Senegal, Chad, Ghana, Democratic Republic of Congo, Mauritius and several South American countries. In Rwanda, Rwandatel and South Africa’s MTN are Tigo’s competitors.
The group has recently sold all its interests in Asia for $570 million. In August 2009 it sold its 58.4% interests in a Cambodian operator to its Cambodian partner for a price close to $350 million. In September Russia’s VimpelCom agreed to spend $65 million on a 74.1% holding in its Laos operator. In October Etisalat bought its Sri Lanka business for $155 million cash.
In Rwanda, Tigo is launching a service in which all customers can choose their desired number. GTB