Libya’s Lap Green Networks takes control of Zamtel for US$257 million

Zambia’s government has sold a 75 per cent stake in Zambia Telecommunications (Zamtel) to Libya’s Lap Green Networks for US$257 million, and may offer the remaining share to the public in the near future. Lap Green Networks competed with Angola’s Unitel, Russia’s Altimo and India’s BSNL in the bidding for the fixed-line incumbent, which also owns mobile operator Cell-Z and Internet service provider Zamtel Online.

"The government of Zambia has today paved the way for completing the most significant privatisation in the history of Zambia," minister of finance and national planning Situmbeko Musokotwane stated.

According to the deal signed June 7, the Libyan company will invest a further US$75 million in taking over government guarantees and to settle redundancy packages for more than 2,000 Zamtel employees, as well as US$62 million in network expansion, making a total commitment of US$394 million.

Zain currently dominates the Zambian mobile market with an approximately 70 per cent market share, followed by MTN with 20 per cent and Zamtel with 10 per cent.

Lap Green Network’s investments include Uganda Telecom, Sonitel Niger, Sahel Com Niger and Rwandatel, as well as Green Network operations in Cote D’Ivoire, Sierra Leone, Togo and Sudan.