Mobile network operator Orange has announced its agreement with Cellcom Telecommunications Limited. The agreement means that Orange will acquire Cellcom Liberia, the leading mobile operator in the country in West Africa.
Orange plans to provide marketing expertise and its strong technical capabilities to further develop Cellcom Liberia. The company’s founders and existing employees will stay involved in the business to ensure a smooth integration. Orange is currently developing a new international strategy as it aims to accelerate its growth by entering new markets, which could have huge potential, for example in this instance, Liberia.
Orange said that with a national mobile license and a significant share of the Liberian market with a number of subscribers, Cellcom Liberia has ‘excellent potential’ for growth. The price of the takeover has not been revealed, and the takeover still needs to be approved by the relevant authorities.
Liberia is seen as a good opportunity for Orange as it currently has a much lower mobile penetration rate (66%) than other countries. In recent months, Orange has been withdrawing from Africa. Back in November, the company announced that it had signed an agreement with an investment firm for the sale of its 70 per cent stake in Telkom Kenya. This sale came after the company had already withdrawn from the Ugandan market by selling to Africell.
It’s said that expanding in Africa is a strategic priority for Orange, which is strange given that the company has sold several of its stakes in African companies. However, this could be because the company is planning to use the purchase of Cellcom Liberia to start up its own network in the country.
For more information about mobile network services provided by Orange, contact the Orange Customer Services team, run by EE in the United Kingdom. They will provide help with contracts, pay as you go and data issues.