IHS Towers ($IHS), the world’s fourth-largest independent tower company, has laid off over 100 employees as currency devaluation in Nigeria, its biggest market, squeezes its profits. One person with direct knowledge of the business told TechCabal that the layoffs, which cut across several departments, mostly affected senior employees and the network surveillance team.

Most of the affected senior employees have spent a decade at IHS Towers and received “significant” severance packages, the same person said. “[The company said] it was not because of underperformance but because of the economy,” they added.

IHS Towers did not immediately respond to requests for comments.

Since 2022, IHS Towers has faced pressure from investors over its poor financial performance. The company lost $409 million in the fourth quarter of 2023 after a currency devaluation in Nigeria shrunk revenues and caused FX losses from USD loans.

The company, which currently employs 1,600 people, reported a $1.9 billion loss in 2023, a 304% increase from the previous year’s losses. Its market capitalisation is $1.3 billion, a $6 billion decline since 2021.

While its share price has slightly rebounded in August to $3.56 after trading at $2.98 in July, it is still a far cry from the highs of 2021, when it sold for $21.

IHS Towers operates over 40,000 towers in Africa, roughly 25% of the continent’s entire tower infrastructure, which it leases to telcos like MTN and Airtel. This service is crucial for Africa’s digital economy plans, as towers provide the backbone for internet connectivity.

However, rising fuel prices, maintenance costs, inflation, and FX volatility in Nigeria—which accounts for over half of IHS’s sales and revenue—have threatened the business.

In the first quarter of 2024, the business spent $88.8 million on power, its largest operating cost.

“The company used more than $1.5 billion in cash last year for investing activities, but the line items on the company’s published statement of cash flows for such investing activities are not explained in any meaningful way,” a shareholder said in a June 2023 letter.

Gimba Mohammed, the director of government and external relations at IHS Towers, said at a conference in August that it cost the business more than ₦14 billion to fix fibre cuts between 2022 and 2023.

https://techcabal.com/2024/08/20/ihs-towers-layoffs/

It actually more than 100... This is from a reliable source..

It keeps unraveling....

It's going to be a long drive, guys...

Dear Sycophants,

On August 29 2023, Tinubu’s government promised to create 50 million jobs and revive the economy.

This is almost one year. How far with your messiah’s plan?

https://www.nairaland.com/7821154/tinubu-sets-3-year-economic-revival

More to come ajeh

I'm sorry for those that lost their job may God help them to get a best job than this one they just lost.

Job loss can have a significant impact on families in Nigeria, including:

1. Reduced income: Decreased financial stability and ability to meet basic needs.

2. Increased poverty: Higher risk of falling into poverty, exacerbating existing economic challenges.

3. Emotional distress: Stress, anxiety, and depression among family members.

4. Changes in family dynamics: Altered roles, responsibilities, and relationships within the household.

5. Reduced access to education: Decreased ability to afford school fees, uniforms, and materials.

6. Poor health outcomes: Inability to afford healthcare, leading to neglected medical conditions.

7. Increased debt: Accumulation of debt due to inability to meet financial obligations.

8. Homelessness: In extreme cases, loss of housing due to inability to pay rent or mortgage.

9. Malnutrition: Reduced access to nutritious food, leading to malnutrition and related health issues.

10. Social isolation: Withdrawal from social activities and community engagement due to shame or stigma.

In Nigeria, where many families rely on a single breadwinner, job loss can have far-reaching consequences, affecting not only the individual but also their dependents.

Here's a WhatsApp channel for jobs https://whatsapp.com/channel/0029VaH6zEJFHWpuQ1zwxt1Q

IHS don't know what they are doing.

Teaching obi a lesson

Reno mockery what do you have to say concerning this?

Tifnubu had done more harm than good

Ok

Noted.

Give this country to a Christian and watch as this country progress...

Anyway God bless the good people of Southsouth and Southwest

And most of them voted for urine dispensing machine

POLS:


https://techcabal.com/2024/08/20/ihs-towers-layoffs/

Tinubunation, anyways he built Lagos. You can't even go schooling again,#1600 to $1 or #2300 to £1 is not your mate. We warned, but they feel we hated him.

Reno O'fuckery

This is PETER OBIs fault..

Ah...For This Tinubu period...

fuckingAyaya:
Reno mockery what do you have to say concerning this?

Reno be like....."This is a normal thing happening everywhere even the US" Nigeria's unemployment rate is still behind some African countries so its not bad at all....then the àss licker of the highest bidder will look for a way to relate it to Peter obi..

Food is ready for omo Igbo, let the tears keep rolling

30.4%, not 304%

gaby:
It keeps unraveling....

It's going to be a long drive, guys...

Tinubu's ebilokan continuity of Buhari's cluelessness has proven to be worse than anyone could have imagined.
APC is a disaster that we should not have allowed to happen to us.

This isn't exactly bad news for those laid off cos they will get very handsome severance packages. According to the news most of those laid off are senior executives and senior executives will be well compensated.
They can easily move on and start a new life

E don happen....

They are saying things are gonna turn around, and it's only 15 months out 48 months, why are y'all in a rush?

Next, we will start hearing "buy your sweet Towers here" . Refinery wahala dust seems to be settling down now. What Tulumbu cannot suffocate does not exist.

This is not good at all.

Losing one’s job in this present state of the country.

God abeggg.. 😩😥🙏🤲

Those who voted APC among them would be sad now.

It is now clear that u can steal a dead man's certificate but u can't be the dead person in reality.

First class accountant that has no ICAN...nothing to show that he is even educated.

Ipob towers you mean.


The master strategist and tamer of the Atlantic and Mediterranean Seas is incharge of our economy. He is currently taming our economy and we will laugh at last

I hope Peter Obi and igbos have learnt the hard lesson

Mumu people

I sympathise with anyone that loses his job in these difficult times.

The reality is that every business goes through a circle. There are times you make profit. Occasionally, there can be a loss. That's business life.

If a company like this one which has been making billions in Nigeria every year for several years suddenly makes a loss, it is not nice but it is also not the end of the world.

Besides, Google, Facebook, Tesla etc have been laying off hundreds of thousands of employees in 'sane clime' USA.

Are they also based in Nigeria.

The global economy is going through a difficult circle. Virtually every country is affected one way or the other.