MTN group operates in more than 22 countries across Africa and the Middle East has expanded its fleet in Uganda through leasing. This acquisition is expected to boost value creation and the overall growth of its business with less stress on fleet maintenance and brings its regional leased fleet over 20 units.
In partnership with CMC motors Uganda, RentCo Africa Leased vehicles to MTN Uganda, the largest telecom service provider. MTN Uganda has adopted leasing as its business strategy in a bid to meet its products growing market demand. The company will seek to expand this partnership as a means of managing its operational costs by passing on intermediate services of vehicle maintenance to RentCo Africa Uganda.
MTN Uganda is among other companies and governments that have adopted the policy of leasing vehicles and equipment to manage their cash-flows. The product is attractive as it helps institutions avoid unnecessary capital expenditure in buying depreciating assets such as vehicles. In addition, it assists institutions to pass on other services such as insurance, remote tracking, and maintenance to lessors at a fixed monthly cost during the entire leasing period. This ensures that clients derive maximum value possible as well as aiding them to concentrate in their key businesses with less interruption.
While flagging off the units, Kenneth Ochar, Country head, said, “Leasing has been accepted and embraced by leading multinational corporations around the globe as a sound model for asset acquisition. Key industry players cite the flexible terms of obtaining a lease as one of the major benefits that make it attractive compared to loans.” He added, “RentCo has leased various types of assets to various corporate that many thinks are not leasable such as Laptops, Medical Equipment gym equipment, trucks, trailers, power plants, and production equipment.”
About MTN Uganda
MTN Rwanda is the market leader in the mobile telecommunications industry in Rwanda. Since 1998, MTN Rwanda has continuously invested in expanding and modernizing its network and is now proudly Rwanda’s No 1 Internet Network. MTN Rwanda offers superior services to its subscriber base, including innovative propositions such as personalized voice and data offers with MTN Irekure. The company is also the front runner in Mobile Financial Services in Rwanda with Mobile Money, MoMoPay and MoKash Loans and Savings.
About RentCo Africa – Uganda
RentCo Africa is a solutions-oriented asset-financing and logistics solutions partner for businesses of any sector, government, and other organizations. We strongly believe that access to equipment means access to opportunities. Rentco Africa is registered in 10 countries across Africa, and we are excited to play our part as we move the continent forward through the bold Africa Continental Free Trade Agreement (AfCTA) initiative.