IHS Hires JPMorgan Chase to Weigh Strategic Alternatives After Nigerian Naira Tumbles
By Will Feuer
IHS Holding said it is working with advisers, including JPMorgan Chase, to weigh strategic alternatives for the business, which has been dragged down by the rapid devaluation of the currency in Nigeria, IHS' biggest market.
The cell-tower operator said it is weighing options across the company's portfolio, which spans operations in Brazil, Nigeria and elsewhere. IHS said it is also reviewing capital-allocation priorities.
The company also warned that it expects to take a $535 million hit to revenue this year due to the devaluation of the Nigerian Naira. IHS generated about 63% of its revenue from Nigeria in the fourth quarter.
"Despite the currency headwinds in Nigeria, we believe in the underlying strength of our business and believe our equity is undervalued given Africa's perceived place in the global markets," Chief Executive Sam Darwish said. "Notwithstanding our strengths, we have to consider ways of unlocking value for our shareholders."
Write to Will Feuer at Will.Feuer@wsj.com
(END) Dow Jones Newswires
March 12, 2024 08:27 ET (12:27 GMT)
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