Airtel Africa to repurchase $50 million worth of shares in new buyback program

Telecoms company Airtel Africa has launched a share buyback programme to repurchase up to 1% of its shares. The programme, which runs from May 22 to November 17, is worth at least $50 million.

According to an announcement made on Friday via the Nigerian Stock Exchange (NGX), all shares purchased from the investors will be cancelled from their allotments upon the program’s completion. The development is part of the telco’s approach to returning cash to shareholders, central to its capital allocation policy.

“The sole purpose of the buyback programme is to reduce the capital of the Company. As such, all shares purchased under the buyback programme will be cancelled,” part of the statement reads.

While providing more context on the program, Airtel Africa explained that the decision reflects the continued strength of its balance sheet and the ability to preserve financial flexibility. It added that this financial strength positions the company to capitalise on growth opportunities across the group.

To facilitate the share buyback plan, Airtel Africa has agreed with Barclays Capital Securities Limited to carry out on-market purchases of its ordinary shares. In turn, the operator will be purchasing its ordinary shares from Barclays. 

The company added that it may repurchase an additional $50 million of ordinary shares during the process. This may see the company purchase up to $110 million worth of ordinary shares.

“The Company may in due course announce further tranches of the Programme as may be required to fulfil its objective of repurchasing up to 1% of its issued share capital as at the date of this announcement,” it added. 

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Airtel’s share buyback program 

Airtel Africa’s first buyback phase, launched in December 2024, aligns with the company’s capital allocation policy.

The initiative aims to strengthen investor confidence while supporting the company’s long-term growth plans, the consistent cash accretion at the holding company level, and the balance sheet’s strength.

The buyback involves Airtel using its cash reserves to repurchase shares from the market. The company said it remains financially strong enough to expand its telecom and mobile money services across Africa while continuing to reward shareholders.

In its earnings for Q1 2026, Airtel Africa reported a $1.7 billion revenue, representing a 22.3% increase in constant currency. The earnings were fueled by $705 million in data revenue and $613 million in voice revenue. Profit after tax jumped 183.3% to $227 million, with the total customer base now 183.5 million.

Airtel Nigeria’s earnings for the quarter surged by 40.2% to $475 million, also attributed to a $244 million data revenue. East African operations across six markets generated $577 million in revenue for the quarter. 

Also, the group’s seven Francophone African markets recorded $400 million in revenue during the quarter.