Actis and Royal Bafokeng Holdings have completed their acquisition of Swiftnet from South African incumbent Telkom, in a landmark deal for the country’s tower market. The enterprise value of the transaction is reported at US$370 million.
Swiftnet, which operates a portfolio of more than 4,000 towers across South Africa, has now been transferred to a new ownership structure. TowerXchange understands that an Actis-led consortium, including the Mineworkers Investment Company (MIC), now holds a 70% stake, with Royal Bafokeng Holdings retaining the remaining 30%.
The deal marks a significant shift in Telkom’s strategy, as the operator continues its pivot away from infrastructure ownership. Swiftnet will continue to service Telkom as a key anchor tenant alongside other MNOs. The company is also expected to play a major role in expanding rural coverage and supporting 5G upgrades.
“It’s terrific to have completed the acquisition of Swiftnet, which we aim to establish as the leading independent tower company in South Africa,” said David Cooke, partner at Actis. “The business benefits from great relationships with its anchor tenants and mobile network operators, which we plan to reinforce. It has all the ingredients to help bridge the need for tower densification and increased coverage to meet rapidly growing internet usage and demand, while further helping to unlock the potential of the South African digital economy by providing reliable and fast mobile connectivity.”
The acquisition is the first major international tower transaction in South Africa since IHS Towers entered the market through its deal with MTN in June 2022 . TowerXchange’s Q3 2024 Africa Guide tracks 23,978 towers in South Africa, with Swiftnet accounting for around 4,000 of those, making it the third largest towerco in the country after Vodacom carve-out MAST Services and IHS Towers.
South Africa’s tower sector is increasingly adopting models seen elsewhere on the continent, with a growing focus on tenancy ratio improvement, rural expansion and energy-as-a-service to address chronic grid challenges.
Actis has recent experience in South African digital infrastructure, having exited its investment in Western Cape fibre provider Octotel in early 2024. This acquisition reinforces Actis’ growing interest in the digital infrastructure sector. The firm’s global digital infra portfolio now exceeds US$3.5 billion in enterprise value. Actis completed a sale and leaseback with Telekom Srbija in 2024.
The new owners are expected to inject capital into network upgrades and explore opportunities for organic growth, particularly in underserved areas. TowerXchange will continue to track developments as the new shareholders take the reins.
