(Ecofin Agency) - • Axian discusses telecom and tech investments with Algerian authorities
• Move aligns with broader African expansion following deals in Togo and Free
• Algeria reports mobile penetration of 85.9% and internet at 71.2% by end-2024

Axian Group, already making significant strides in nine telecom markets, seven of which are in Africa, is exploring investment possibilities in Algeria's technology and telecom sectors. These developments come during the Islamic Development Bank's general assemblies held in Algeria and involve discussions between Axian's CEO Hassanein Hiridjee and local authorities. While no concrete decisions have been made, the move aligns with Axian's strategy to expand further into the African telecom marketplace.

In October 2024, Axian increased its indirect stake in Togocom to 51%, having been a shareholder since 2019. The group announced an agreement in July 2024 to acquire an additional 40% share in Free (now Yas), increasing its total stake to 80%. The group bought operators Tigo and Zantel in Tanzania from Millicom in 2022 for an estimated $100 million and was in the running to take over Mauritanian operator Mattel by the end of 2021.

Targeting the African market, where the penetration rate for mobile telephony is estimated at 66.2% and 37.5% for the internet by 2024 as per the International Telecommunication Union, Axian aims to position itself more strongly. Axian's Algerian venture comes in the context of a government initiative to attract foreign investments, create jobs in various sectors, and transform the country into a tech hub in Africa.

As of the end of 2024, Algeria had 54.05 million mobile subscribers and 57.54 million internet subscribers, while the population stood at an estimated 42.1 million. The real subscriber number may be smaller, as some users own multiple SIM cards, each individually counted. The internet penetration rate in Algeria is 71.2%, with mobile telephony penetration at 85.9%, according to the International Telecommunication Union. The market is shared between Mobilis, Djezzy, and Ooredoo, with market shares of 42.74%, 30.47%, and 26.79% respectively. Both Djezzy and Mobilis are state-owned.

Currently, Axian Telecom has a presence in seven African countries: Tanzania, Madagascar, Togo, Uganda, the Democratic Republic of Congo, Senegal, and Comoros. With a reported 40.2 million mobile subscribers, 12.3 million internet users, and 16 million digital financial service customers across its markets, the group also provides digital infrastructures like fibre optics and telecom towers. For the fiscal year 2024, the company reported $1.4 billion in revenues.