African telecommunications tower operator Helios Towers has dropped its plans to launch an initial public offering (IPO) in London which was expected to value the business at about GBP 2 billion. The tower operator said it had received considerable interest from institutional investors who were supportive of its business plan and growth prospects, but its shareholders had decided to withdraw the planned listing.
No reason was given. Helios Towers had plans to list its shares in London and Johannesburg early April and expected that at least 25 percent of its shares would be freely traded after the sale. The IPO was intended as a way for shareholders such as Bharti Airtel and Millicom to divest their stock. They acquired shares in Helios in exchange for tower assets.
Mergermarket reported earlier that Helios and Eaton Towers – which was also planning an IPO – may have been considering a merger.
