Telecom Networks Malawi (TNM) plc shareholders have approved the acquisition of Open Connect Limited (OCL), operator of a national fibre optic network, in a K11.5 billion transaction.

The shareholders endorsed the deal at the company’s annual general meeting, paving the way for TNM to take control of OCL’s fibre network and associated infrastructure.

TNM Board Chairperson Ted Sauti Phiri described the acquisition as a strategic investment that will enhance network efficiency, improve service delivery and reduce long-term operational costs.

Phiri said the investment would strengthen TNM’s capacity to meet growing demand for reliable connectivity while positioning the company for future growth.

Minority shareholder Frank Harawa welcomed the acquisition, describing it as a positive move that would benefit both the company and its customers.

Meanwhile, shareholders approved a dividend payout of 23 tambala per share, amounting to about K7.96 billion for the financial year under review.

The dividend marks TNM’s first payout to shareholders in three years.

The approvals come as TNM reported a net profit after tax of K21.27 billion on total revenue of K222.9 billion during the period under review.