(Ecofin Agency) - Telecom group Bharti Airtel has acquired from Millicom International Cellular SA its subsidiary in Rwanda, Tigo Rwanda Limited. Bharti Airtel which already operates in Rwanda, explained that the move aims to position the firm as number two of the country’s telecom market, after MTN, and consolidate this market as well.

 According to Sunil Bharti Mittal (photo), CEO Bharti Airtel, acquiring Tigo Rwanda is part of proactive measures taken by the group in Africa to “consolidate and realign the market structure in the last few remaining countries where its operations are lagging on account of lower market share and presence of too many operators”.

“Airtel and Tigo have already merged their operations to create a strong viable entity in Ghana. Today, it has taken yet another important step to acquire Tigo Rwanda to become a profitable and a strong challenger in a two-player market. We are also committed to the long term viability of our operations in two other countries i.e. Kenya and Tanzania, to ensure that in 2018 all our 15 operations in Africa start contributing positive margins and cash flows,” explained Sunil Bharti Mittal.

By selling its subsidiary, Millicom continues its exit from Africa. The group which also sells its Senegalese subsidiary wishes to focus on Latin American markets, which it believes have more potential. After these two sales, Millicom will be present in only three African nations, namely: Chad, Tanzania and Ghana.