Airtel Africa has announced its plans to launch its mobile money unit on the stock market in 2025, concurrently with its expansion strategy across more African countries.
Currently operational in 14 nations, Airtel Money is slated to become a publicly traded entity next year, as confirmed by Chief Executive Officer (CEO) Olusegun Ogunsanya, who refrained from specifying the chosen stock exchange for the listing.
“Airtel Money represents the fastest-growing segment within Airtel Africa, potentially valuing over $4 billion. This promising performance contrasts sharply with the company’s recent financial results, which were significantly affected by challenging macroeconomic conditions, resulting in a substantial $89 million after-tax loss compared to last year’s $750 million profit,” TechCabal reported.
Despite broader financial setbacks, Airtel’s mobile money division demonstrated resilience and growth, alongside its data revenues.
Mobile money transactions surged by 38.2% in constant currency, reaching a reported annual transaction value exceeding $112 billion. The customer base expanded by 20% year-on-year to 38 million, fueled by robust performances in East Africa and Francophone Africa.
The telco’s decision to take its mobile money unit public follows a trend of increased investment in African mobile money providers. Notably, Mastercard acquired a minority stake in MTN’s mobile money arm two years after injecting $100 million into Airtel Money.
Airtel Mobile Money dominates in six primary markets, with a significant presence in East Africa, including Zambia, Uganda, Tanzania, and Malawi, as well as Francophone markets like Gabon and the DR Congo.
CEO Ogunsanya attributed their success to first-mover advantages, robust infrastructure, and extensive distribution networks.
With a network encompassing 29,000 exclusive mobile money branches, Airtel has leveraged its infrastructure effectively to maintain a competitive edge.