Telecom giants Airtel Uganda on Wednesday formally took over fellow telecommunication company Warid in a deal that will see the the former’s subscribers increase to 7 million.
According to Uganda Communications Commission Executive Director, Godfrey Mutabazi, says the merger is intended to increase government revenue.
More than three weeks ago, Bharti Airtel, the world’s fourth largest mobile phone operator announced that it has signed an agreement to buy Warid Telecom Uganda.
As the two companies merge, all Warid and Airtel airtime cards will continue being in use. Warid will be calling airtel as one network. This is in addition to the two becoming one brand, Airtel.
Former employees of Warid Telecom do not have to worry for their jobs for according to the new management decision, all employees and staff of the companies will be integrated.
In 2010, Bharti, India’s top mobile phone carrier and ranked number two in Uganda, is said to have invested up to 9 million dollars in what the company called money-losing operations in 15 African countries. It operates in 20 countries across Asia and Africa.
Airtel premiered the mobile telephone services in Uganda as Celtel in 1995, some 13 years before Warid joined the industry. Other players in the market include giants MTN, Uganda Telecom and Orange Uganda.