Orange is continuing its acquisition drive in Africa and has agreed to acquire Bharti Airtel’s operations in Burkina Faso and Sierra Leone. Orange will acquire 100 percent of the two companies, which generate annual revenue of around EUR 275 million. The purchase price is equal to around 7.9 times their annual EBITDA. The acquisitions will be implemented in partnership with Orange’s subsidiaries in Cote d’Ivoire and Senegal and are still dependent on local regulatory approval.
The takeover adds another two countries to Orange’s African footprint, taking it to a total 20, as well as almost 5.5 million subscribers. The deal follows an initial agreement with Airtel in July 2015 to look at buying Airtel’s operations in Burkina Faso, Sierra Leone, Chad and Congo Brazzaville. The agreement covering the other two countries has lapsed, Orange said.