Airtel Kenya headquarters located on Mombasa Road, Nairobi. The telco redeemed the bonds that were to mature in March 2023, saving $26 million on interest payments from the early redemption. PHOTO | DENNIS ONSONGO | NMG
Airtel Africa Plc has recalled $505 million bonds and sold off telecommunication towers in Malawi, Madagascar and Tanzania for a total consideration of $284 million as part of measures to pay off close to $3 billion debt on its balance sheet that is weighing down its continental operations.
By recalling a bond, a firm pays off the principal amount and the interest of a debt instrument before the due or maturity date. This occurs where the issuer (borrower) intends to clear the debt from its books and save on the regular interest payments.
