Why This Fund Made a $35 Million Bet on IHS Towers During a Major Shakeup

PSquared Asset Management AG initiated a new position in IHS Holding Limited (NYSE:IHS) during the first quarter, acquiring 4,343,787 shares in a trade estimated at $34.80 million based on quarterly average pricing, according to a May 14, 2026, SEC filing.

What happened

According to a SEC filing dated May 14, 2026, PSquared Asset Management AG established a new position in IHS Holding Limited (NYSE:IHS) by acquiring 4,343,787 shares. The estimated value of the purchase was $34.80 million, calculated using the average share price during the first quarter. The quarter-end value of the stake was $35.75 million, reflecting both the purchase and share price changes.

What else to know

• This was a new position for PSquared; IHS now represents 12.44% of the fund’s 13F reportable assets under management.
• Top holdings after the filing:
  • NASDAQ: WBD: $45.67 million (15.9% of AUM)
  • NYSE: IHS: $35.75 million (12.44% of AUM)
  • NYSEMKT: SLSR: $35.26 million (12.3% of AUM)
  • NASDAQ: HOLX: $30.68 million (10.7% of AUM)
  • NYSE: NSC: $27.66 million (9.6% of AUM)
  • NYSE: GTLS: $24.27 million (8.4% of AUM)
• As of May 13, 2026, shares of IHS were priced at $8.25, up 35% over the past year and outperforming the S&P 500 by 9.45 percentage points.

Company Overview

Company Snapshot

• IHS Holding provides colocation, lease agreements, build-to-suit infrastructure, fiber connectivity, and rural telephony solutions across Africa, Latin America, Europe, and the Middle East.
• The firm operates a shared telecommunications infrastructure model, generating revenue through long-term contracts and recurring lease payments from network operators and service providers.
• It serves mobile network operators, internet service providers, broadcasters, security organizations, and private corporations as primary customers.

IHS Holding Limited is a leading independent owner and operator of telecommunications infrastructure, with a significant presence in emerging markets. The company leverages its scale and expertise to provide reliable connectivity solutions and enable mobile network expansion for its clients. Its long-term business model is based on contracts with mobile network operators and service providers for infrastructure solutions.

What this transaction means for investors

This purchase ultimately looks like a high-conviction bet that IHS Towers is becoming less risky and more financially durable after several difficult years tied to currency volatility and emerging-market concerns. The size of the position also suggests PSquared sees meaningful upside if the company successfully completes its pending strategic transactions. In February, IHS agreed to sell its Latin American tower operations and its stake in I-Systems while also moving forward with a proposed $6.2 billion sale to MTN Group.

Fundamentally, IHS posted a solid first quarter, with revenue from continuing operations rising 6% to $415.4 million and adjusted EBITDA climbing 6.5% to $268.7 million. Income for the period surged 151% to $77 million, while adjusted levered free cash flow rose nearly 16% to $173.5 million. The company also reduced its consolidated net leverage ratio to 2.9x from 3.4x a year earlier.

It’s unclear whether PSquared stepped in before or after the proposed transactions, but the firm kept its position through quarter-end, suggesting conviction through at least then.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Warner Bros. Discovery. The Motley Fool has a disclosure policy.