Orange SA, the prominent telecommunications company, is exploring the sale of its 40% stake in Mauritius Telecom, the incumbent operator in Mauritius.
This decision is reportedly driven by the asset no longer being considered strategic for the French multinational. The news was reported by Bloomberg on Friday, June 21st, citing anonymous sources familiar with the matter.
No Final Decision Yet
No definitive decision has been reached yet, and Orange may choose to retain its Mauritius Telecom (MT) assets for a longer period. Currently, the company has discussed a potential exit plan with advisors but has not formally engaged with the operator’s board of directors. A final decision could be made in November.
Changing Priorities
According to sources, Orange’s stake in Mauritius Telecom has become less strategic for the French company since its brand was replaced in 2017 with “MyT.” The “Orange” brand had been adopted in 2007, seven years after Orange (then France Telecom) acquired a stake in the incumbent operator for approximately $261 billion.
Mauritius Telecom’s Market Position
As a reminder, Mauritius Telecom reported 1.05 million customers at the end of 2022 in a market where it competes with Emtel and MTML (Chili). According to the latest statistics from the Information and Communication Technologies Authority (ICTA), Mauritius had 2.1 million mobile subscribers in 2023.