- Until recently, Africell was the third largest telecom service company in Uganda by subscriber base.
- Dwindling market share and soaring debt have forced the Company to wind up its operations in Uganda.
Until recently, Africell was the third largest telecom service company in Uganda by subscriber base. Dwindling market share and soaring debt has forced the Company to wind up its operations in Uganda. The company has announced that its services will come to an end on October 7, this year. The staff has been advised not to accept new customers and help the existing customers to migrate to other networks.
Africell Holdings, the Lebanon-based company started its operations in the Ugandan market in 2014 after acquiring Orange Uganda. It had, earned a reputation for providing affordable internet service packages, and relative network stability. Last year, it was rated as the top performer by Uganda Communications Commission in terms of service delivery.
In 2019, the company’s reported a debt of 250 billion shillings, and a loss of more than 1.5 trillion shillings. Part of the debt was inherited from Orange, when it acquired it. The company said in a statement that though it aspired to become a leader in mobile services in Uganda and drive the digital transformation of the society, the stiff competition and high indebtedness have compelled it to take the decision to quit. It added that Uganda, a country with a mature and competitive telecom sector, offered limited opportunities.
Smart Telecom also announced in August, its decision to leave Uganda after failing to realize its business objectives.
