Malawi Network Operator Sold

Telekom Malaysia has announced the sale of its 60% in Telekom Networks Malawi (TNM) for US$24.5 million to South African based Pan African telecommunications group Econet Wireless. In a statement issued in Kuala Lumpur, TM said its departure from Malawi was part of its strategic decision to concentrate on markets in Asia. TM has already sold its interest in Telkom South Africa, which was disposed of in 2004.

Econet Wireless Group Chief Executive Officer Strive Masiyiwa said the acquisition of the controlling stake in TNM by Econet would strengthen the group's position in a region in which it already has a number of operations.

Econet already has interests in cellular operations in Lesotho, Botswana, Zimbabwe, Kenya, and Nigeria on the African continent, and is currently building a 3G network in New Zealand. It also operates a specialist satellite communications business in the United Kingdom.

In its statement, TM said that Econet would acquire the stake by buying 100% of Tess International, a TM subsidiary set up by TM as part of a restructure to hold its interest in TNM. The company said the sale is subject to the normal regulatory approvals in a sale of this nature."

Posted to the site on 30th January 2006