Mikati’s M1 to buy largest
mobile operator in Afghanistan

Seller is South Africa’s MTN Group

MTN Group, Africa’s largest mobile operator, said it has reached an advanced stage in a deal to sell its subsidiary in Afghanistan to Beirut-based M1 New Ventures for a gross consideration of $35 million.

The deal is subject to transition agreement and regulatory approvals, read a statement by the South Africa-based MTN Group. MTN Afghanistan is the biggest operator in that country where it holds a market share of 40 percent.

M1 New Ventures is part of the M1 Group which is owned by PM Najib Mikati, his brother Taha, and their families. M1 Group sold its telecom business to MTN Group in 2006 for $5.6 billion. The sale also involved holding a 25 percent stake in MTN.

The Mikati family had developed the first mobile network in Lebanon which was launched in the early 1990s under the Cellis brand. They subsequently expanded into Syria and Africa. Last year, M1 Group acquired a controlling stake in Telenor Myanmar for $105 million. It plans to invest $330 million over three years to develop Telenor’s broadband infrastructure, services, and network.