IHS Towers Reports Strong FY25 Results, Confirms Definitive Merger Agreement with MTN Group at $8.50/Share

summarizeSummary

IHS Towers reported strong full-year 2025 financial results, including significant revenue and free cash flow growth, and confirmed a definitive merger agreement to be acquired by MTN Group Limited for $8.50 per share, a premium to its current trading price.

check_boxKey Events

• Definitive Merger Agreement Confirmed

  IHS Towers has entered into a definitive merger agreement to be acquired by MTN Group Limited for $8.50 per ordinary share in cash, reflecting an enterprise value of approximately $6.2 billion. This agreement was initially announced on February 17, 2026.

• Strong Full Year 2025 Financial Performance

  Revenue from continuing operations increased 3.6% to $1,582.0 million, with organic revenue growth of 10.1%. Adjusted EBITDA grew 9.0% to $1,012.3 million, and Adjusted Levered Free Cash Flow (ALFCF) increased 47.3% to $448.1 million, all meeting or exceeding guidance.

• Strategic Divestitures in Latin America

  The company confirmed agreements to sell its Latin American tower operations to Macquarie Asset Management for approximately $952 million and its 51.0% stake in I-Systems to TIM S.A. for approximately $453 million, both announced in February 2026.

• No 2026 Financial Guidance Provided

  In light of the proposed acquisition by MTN Group, IHS Towers is not providing full year 2026 financial guidance.

auto_awesomeAnalysis

IHS Holding Ltd (IHS Towers) reported robust full-year 2025 financial results, exceeding or meeting all guidance metrics, and confirmed its definitive merger agreement to be acquired by MTN Group Limited. The acquisition, initially announced on February 17, 2026, values the company at $8.50 per share in cash, representing a premium to the current stock price. This merger agreement is the most significant development, fundamentally altering the investment thesis for IHS Towers. The company also detailed strategic divestitures of its Latin American operations, which are expected to streamline the business and generate substantial cash. While Q4 2025 showed a net loss, this was primarily due to a non-cash impairment charge related to the discontinued Latam operations, rather than core operational weakness. The strong full-year performance and the pending merger provide a clear positive outlook for shareholders.