Mumbai based Essar Global Ltd has announced plans to invest $500 million over two years in Kenya’s, Econet Wireless, surpasing the $307-million proposed by Kenyan government owned Telekom Kenya in May this year. This is the Esar Group’s first major investment in the sub-Saharan region.
Essar Group owns acquired a 49-per cent stake in Econet’s parent company , the South Africa-based Econet Wireless International, which it bought in 2007 through Essar Communications Holdings Ltd. Econet Wireless International owns a 70-per cent stake in Wireless Kenya Ltd.
According to S Srinivasa, director for the group’s East Africa businesses, the Essar investment would be used for developing network infrastructure for wireles broadband services and the set up costs prior to roll out of services in the country, by end November, after the proposed launch of services in June were delayed due to post-election violence in the country.
