Michael Magambo, former Helios Towers and American Tower executive, has been appointed managing director of Vodacom’s soon-to-be-launched TowerCo.
The appointment comes as plans are at an advanced stage to separate Vodacom SA’s tower portfolio, and a new company to manage the assets will soon be operational.
Vodacom Group CEO Shameel Joosub recently provided an update on the company’s formation when he presented the telco’s financial performance for the quarter ended June.
The separation of Vodacom SA’s tower portfolio into a standalone tower company, TowerCo, is part of the group’s “System of Advantage” strategy, which seeks to optimise assets.
In this regard, Joosub said, the group is carving-out the tower portfolio and is establishing a separate legal entity that will be 100% owned by Vodacom Group.
Standalone tower companies benefit telcos fundamentally from a financial perspective, as they have larger economies of scale by hosting multiple tenants. This reduces overall costs for telcos like Vodacom.
Magambo spent seven years as Helios senior executive in Uganda. On his LinkedIn profile he says he has been managing director of Vodacom’s tower company for the past two months, having assumed the role in August.
According to Telco Titans, which broke the news, Magambo joined Helios Uganda in 2015, following a three-year spell as director of sales and marketing at Helios Towers in Tanzania.
The publication adds his tenure spanned a sale-and-leaseback deal Helios agreed with Vodacom Tanzania in 2013, which covered all of the OpCo’s then-1 149 sites, and is Vodacom Group’s largest tower outsourcing move to date.
“Subject to work permit approval, Vodacom can confirm the appointment of Michael Magambo as MD of its TowerCo,” says a Vodacom spokesperson.
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