Millicom wins Rwanda’s third mobile license

Millicom International Cellular, a telecommunications firm specializing in emerging markets, has won its bid to become Rwanda's third mobile phone service provider.

"It is a country with great potential for mobile telephony, as it is a very densely populated country with an extremely low mobile penetration, which will enable us to build out a network quickly and economically," Millicom President and CEO Marc Beuls said of Rwanda.

Millicom, which operates in Tanzania and the Democratic Republic of Congo, issued a statement noting that it will own 87.5 percent of a new joint venture branded "Tigo." Co-owned by the local Marathon Corporation, the venture is expected to pay $60 million for a 15-year license.

Rwanda's two current mobile phone providers, Rwandatel and MTN, serve a population of ten million. With such low penetration, Beuls said, the country's telecom market is ready for expansion.