Airtel Africa's initial public offering of its mobile money business could raise between $1.5 billion and $2 billion, according to people familiar with the matter.
London is now the most likely location for the listing of Airtel Money, the people said, asking not to be identified as the information is still private. An exchange in the UAE has previously been reported as the preferred venue, and other European venues have been considered.
The listing could value Airtel Money at as much as $10 billion, the people said, a valuation that would put it among the largest IPOs on a European exchange in recent years.
Airtel is mostly owned by billionaire Sunil Mittal's Bharti Enterprises and is Africa's third-largest wireless carrier. It has long been planning an IPO of Airtel Money after years of rapid growth. Airtel Africa's CEO Sunil Taldar said in February that the firm is committed to listing the unit by the middle of the year, a timeline which now looks tight. The company is working with Citigroup on the IPO, and three or four more banks could be appointed for the listing, they said.
Representatives for Airtel Africa and Citigroup declined to comment. The listing plans are still at an early stage, and no final decisions have been made on the deal size, timing and location, the people said.
