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Helios Towers Tanzania secures US$95 million funding facility from Standard Bank Group

Press Release – 19 April 2016

Helios Towers Tanzania Ltd (“HTT”), a subsidiary of Helios Towers Africa Ltd (“HTA”), is pleased to announce the successful completion of a US$95 million equivalent upsizing of its syndicated term loan facility led by Standard Bank Group. The funding facility will finance the further expansion of HTT’s network of telecommunications towers across Tanzania and continued investments to drive operational excellence across the portfolio.

Since HTT’s launch in 2011, the Tanzanian market has seen the number of telecom base stations expand by approximately 5,500, whilst the number of towers has only grown by 2,900 due to increased tower sharing. This increased level of sharing highlights the impact that HTT has had on driving efficiencies and reducing the environmental impact of delivering the telecommunications services needed to facilitate development in emerging economies.

Over the last five years, HTT has established the independent TowerCo model in Tanzania through acquiring and upgrading 2,068 operator towers for colocation, and building over 1,000 multi-tenant towers. HTT has built a leading position in Tanzania, which is one of the largest and fastest growing telecommunications markets in Africa, growing at an annual rate of 14%. The continued support of HTT’s lending syndicate formed from both local and international financial institutions highlights the strong willingness to invest in African telecoms infrastructure and is testament to the achievements of the business over the last five years.

Working together with its customers, HTT will continue to help them achieve their goals of: reducing operating costs, preserving capital, and preventing the proliferation of towers through infrastructure sharing, as they expand network coverage and capacity to keep pace with demand and deliver next generation networks.

Kash Pandya, Chief Executive Officer of HTA, said:

“Helios Towers Africa is pleased to announce the completion of this financing package in Tanzania while we continue our growth as a successful independent tower business across Africa. The continued support of our lenders reemphasises the appetite of investors for this market, and we thank them for their continuing backing. The new facility in Tanzania will help us expand tower sharing solutions across the country and meet new demand for tower sharing, benefiting both the citizens and the environment.”

Nina Triantis, Standard Bank’s Global Head of Telecoms and Media, added

“Standard Bank is delighted to collaborate with HTA again, this time with a new debt facility for HTT, the leading independent tower company in Tanzania. The Company’s reputation for operational excellence and client-focused service make any investor and customer confident in their growth and outlook. This transaction demonstrates once again our continued support to infrastructure development in Africa through our excellent understanding and serving of the needs of our clients due to our sector knowledge and our on-the-ground presence in 20 sub-Saharan countries.”

About Helios Towers Africa and Helios Towers Tanzania

• Helios Towers Africa is a leading independent tower company in Africa, having established one of Africa’s most extensive tower networks with more than 5,500 towers in four markets. HTA builds and manages telecoms infrastructure, leasing it to operators across the continent

• The company pioneered the sale-leaseback model in Africa, buying towers that were held by single operators and leasing them back to the seller and other operators. Allowing wireless operators to outsource non-core tower-related activities enabling them to focus their capital and managerial resources on providing higher quality services more cost-effectively.

• Investors in HTA include: Helios Investment Partners, Quantum Strategic Partners, Albright Capital Management LLC, RIT Capital Partners Plc, the International Finance Corporation and Millicom International Cellular

• Helios Towers Tanzania was launched in December 2010 when HTA purchased and leased-back 1,020 towers to mobile operator Tigo Tanzania

About Standard Bank South Africa

Standard Bank South Africa is the largest operating entity of Standard Bank Group, Africa’s largest bank by assets. Standard Bank Group reported total assets of R1,98 trillion (about USD128 billion) at 31 December 2015, while its market capitalisation was R184 billion (about USD11,8 billion).
In South Africa, Standard Bank provides the full spectrum of financial services. Its Corporate & Investment Banking division serves a wide range of requirements for banking, finance, trading, investment, risk management and advisory services. The Corporate and Investment Banking division delivers this comprehensive range of products and services relating to: investment banking; global markets; and global transactional products and services.

Standard Bank’s corporate & investment banking expertise is focused on industry sectors that are most relevant to emerging markets. It has strong offerings in mining and metals; oil, gas and renewables; power and infrastructure; agribusiness; telecommunications and media; and financial institutions.

Standard Bank’s personal & business banking offers banking and other financial services to individuals and small-to-medium enterprises. Standard Bank has more than 647 branches and over 7,270 ATMs in South Africa. Independent surveys of customer satisfaction consistently place Standard Bank at or near the top of their rankings.

Standard Bank’s personal & business banking products include mortgage lending, instalment sale and finance leases, card products, transaction and lending products, and bancassurance.

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