In a landmark move, Zain Group, Ooredoo, and TASC Towers Holding have officially inked a definitive agreement to merge their tower assets, forming a colossal entity valued at $2.2 billion. This strategic collaboration, originating from talks initiated in July, consolidates a combined total of 30,000 towers spanning Qatar, Kuwait, Algeria, Tunisia, Iraq, and Jordan, establishing the largest tower company in the Middle East and North Africa.
The restructured entity, as yet unnamed, will see Ooredoo and Zain each holding a substantial 49.3% stake, achieved through a meticulous process of asset and cash equalization. TASC Towers Holding, recognized as the largest independent tower company in the MENA region, will retain the remaining shares via Digital Infrastructure Assets LLP, with continued oversight of business operations.
Both Ooredoo and Zain will maintain ownership of their respective active infrastructures within the new company, which is poised to generate an annual run-rate revenue of $500 million. The CEOs of the three firms issued a joint statement expressing optimism about the deal’s transformative impact on the telecommunications landscape, foreseeing benefits ranging from economic growth to enhanced connectivity, technological advancements, and increased global relevance.
Highlighting their commitment to sustainability, the CEOs emphasized the deal’s contribution to reducing the region’s carbon footprint. They outlined a vision to reshape the telecommunications sector, fostering a more sustainable ecosystem and ensuring a better-connected future for communities across the region.
The deal, subject to regulatory approvals, is expected to conclude in the coming year. The phased implementation in each market will align with the regulatory frameworks of the respective countries, marking a significant step forward for the telecom industry in the Middle East and North Africa.