Airtel Africa, a London-listed telecom firm with a network spanning 14 African countries, has landed a $100 million investment from Mastercard for its mobile money unit.
The investment sees the sale of a 25% stake in Airtel Mobile Commerce (AMC BV) to the card issuing giant. Airtel Africa will continue to hold a majority stake.
Mastercard says it has also extended its commercial agreements with Airtel Africa around card issuance, merchant acceptance, remittances, as well as payment gateways and processing.
In 2019, Mastercard and Airtel Africa entered into a partnership which saw the latter’s 100 million subscribers gain access to Mastercard’s global network. The deal did not see any money exchange hands.
The latest stake sale arrives less than a month after The Rise Fund – TPG’s global impact investing platform – invested $200 million into the same part of Airtel Africa’s business.
Whilst TPG’s Rise Fund will own 7.55% of Airtel Africa, Mastercard will own a lesser 3.775.% stake.