The news
- Airtel Africa initiates second tranche of its $100m share buyback, targeting $55m by November 2025.
- The move reflects confidence following a $328m profit turnaround in FY 2025.
- Shares to be cancelled, enhancing shareholder value through reduced capital base. Despite IPO delays, the buyback signals robust financial health and strategic focus.
Airtel Africa has commenced the second phase of its $100 million share buyback programme, aiming to repurchase up to $55 million worth of shares by November 19, 2025. This initiative underscores the company’s confidence in its financial stability and commitment to enhancing shareholder value.
The buyback is being executed in partnership with Barclays Capital Securities Limited, which will conduct on-market purchases independently. All repurchased shares are slated for cancellation, effectively reducing the company’s capital base and potentially boosting earnings per share.
This strategic move follows a significant financial turnaround for Airtel Africa. In the fiscal year ending March 31, 2025, the company reported a profit after tax of $328 million, a substantial recovery from an $89 million loss in the previous year. This rebound was driven by increased data usage, tariff adjustments, and cost control measures across its 14 African markets.
Despite challenges such as currency devaluations and legal costs, Airtel Africa’s operational performance has remained resilient. The company reported a net income of $220 million for the full year 2025, up from a $165 million loss in 2024.
While the company has postponed the IPO of its $4.9 billion mobile money business, the share buyback serves as a signal of its strong financial position and strategic focus on long-term growth.
Airtel Africa’s stock performance has mirrored its financial recovery. On May 14, 2025, shares rose by 3.25% to £1.75, reaching a new 52-week high and outperforming the broader market.
The company’s decision to repurchase shares and cancel them reflects a commitment to returning value to shareholders and confidence in its future prospects. As Airtel Africa continues to navigate market challenges, its strategic initiatives like the share buyback demonstrate a focus on sustainable growth and shareholder returns.
