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Uganda’s mobile market is dominated by MTN and Bharti Airtel. The latter acquired the third largest operator Warid Telecom for around US$100m from the Abu Dhabi Group in May 2013. MTN has around 8.5 million subscribers in Uganda, while post-merger, Airtel has over 7.5 million. The next largest is Uganda Telecom’s UT Mobile unit, with Orange Uganda among the country's smaller operators.
According to sources, the most logical buyer of the Orange Uganda unit could be MTN. The South African operator has previously been vocal about consolidation in the country, and will be keen to firm up its number one position, with second place Airtel gaining valuable ground. While Airtel is also clearly in acquisition mode across Africa, sources said it was unlikely the Indian telcom would make a move for Orange Uganda so soon after its Warid buyout.
What are the advantages and dis advantages of the sell out?
We won't know till the sell out. Just like we couldn't know about The Internet candles hiking that airtel made after paying out Warid and a lot more instabilities. For now, Wait...
Source: NewVision