Orascom Subsidiary Buys Namibian Mobile Network

Telecel Globe, a subsidiary of Orascom Telecom has acquired the Namibia based mobile network operator, Cell One for approximately US$59 million in cash, of which US$32 million already paid and the balance due in January 2010. The debt assumed as part of this transaction is non-recourse on Telecel Globe.

Cell One operates a GSM 900/1800 network and has 198,000 active subscribers and over 20% market share.

Kai Uebach, Telecel Globe's CEO said "Cell One is well positioned in the Namibian market to become the key provider of competitive mobile voice and data services. Telecel Globe expects the investment in Cell One to have a positive effect on the brand, the customers and Namibia as a whole. This investment will further strengthen the traditionally good relationship and mutual trust between Namibia and Egypt. This acquisition will further enable Cell One to grow its customer base and deliver both essential services and groundbreaking communication solutions for the Namibian market".

Namibia is amongst the wealthiest countries in sub-Saharan Africa with a GDP/capita of US$ 5,200 (at PPP). It has a population of approximately 2.1 million and a mobile penetration of close to 50% at the end of 2008.

Posted to the site on 13th January 2009