MTN, Rocket Internet and Millicom – A digital partnership

MTN, Rocket Internet and Millicom – A digital partnership

Case studies

MTN Group appointed Delta Partners as a sole strategic and financial advisor in the context of establishing a partnership agreement with Rocket Internet and Millicom to develop e-commerce business across Africa and the Middle East.  Acting as a lead advisor, we were responsible for the overall project coordination and management as well as the end-to-end transaction execution. 

Our approach

The successful completion of the transaction was driven by a proven three pillar M&A execution model

Due Dilligence 

Including in-depth commercial assessment focused on profiling e-commerce in the target markets.  We did a review of the business models developed by Rocket Internet as well as in-depth commercial assessment of the main portfolio ventures. Furthermore, we conducted a human resource and technical due diligence to assess Rocket Internet’s capabilities within the key supporting business functions.

Business Planning and Valuation

Driven by current business plan review, we studied the reasonableness of the management’s business plan assumptions and we prepared a valuation report on the investment opportunity using a range of valuation methods. In addition, synergies with MTN’s core business were identified and quantified proving a full financial report on the financial impact on the client’s business.

Project Coordination and Transaction Execution 

Supporting MTN during the internal governance process for investment, transaction execution and negotiations with Rocket Internet on key terms ensuring alignment with MTN.

Our impact

Collaboration with us has allowed MTN to benefit from:

  • End-to-end transaction execution by a single advisor
  • Expedition of transaction signing within a very short timeframe (less than 6 weeks)
  • Negotiation of favorable transaction terms 

Furthermore, the successful establishment of the e-commerce alliance will allow MTN and Rocket Internet to jointly “win in Digital” in the fast growing African and Middle Eastern economies and be able to deliver superior customer experience to its clients.