The news:
- Bayobab (formerly MTN GlobalConnect), a company specialising in digital infrastructure, announced on Wednesday, April 17, 2023, that it has completed the process of structurally separating from MTN Group, its parent company.
- Following this structural restructuring, the digital infrastructure firm has acquired the fibre-optic assets from its affiliate, MTN Zambia.
- According to Bayobab, the milestone marks a major step in its strategic growth plans in line with the company’s 2025 targets set by MTN.
Frédéric Schepens, CEO of Bayobab Group, stated that the successful completion of the structural separation and transfer of fibre assets represents significant progress not only for the company but also for Zambia and its Southern African neighbours.
Bayobab”s core business, which consists of fibre-optic technology with a portfolio offering extensive connectivity solutions, currently has a proprietary terrestrial fibre network spanning 114,000 kilometres.
With this acquisition, the MTN Group subsidiary, which serves approximately 295 million African subscribers on the parent company’s network, intends to expand its network to 135,000 kilometres by 2025.
Beyond improving cross-border connectivity, this move is expected to establish Bayobab as a go-to digital hub in the region, especially given its proximity to seven neighbouring countries: Angola, Tanzania, Botswana, Namibia, Zimbabwe, Malawi, and the Democratic Republic of Congo.
Articulating the importance of the development, Ralph Mupita, MTN Group’s President and CEO, described it as a strategic move geared towards enhancing the Bayobab’s focus and efficiency in its sector.
Acquiring MTN Zambia‘s extensive fibre assets will enable Bayobab to improve its operational capabilities within the Southern African nation by enhancing traffic management on its fibre networks and increasing bandwidth usage efficiency.
Additionally, the overall quality, resilience, and latency of the firm’s services will significantly improve. As a result, customers throughout the Bayabab network will enjoy better connectivity due to the consolidation of fibre assets.
“This move reinforces our commitment to advancing connectivity across Africa and underscores our role as an open-access provider, benefiting all our partners,” Schepens added.
