UPDATE: 9Mobile sale isn’t concluded yet -NCC

The Nigerian Communications Commission (NCC) has said 9Mobile sale isn’t concluded yet, and Teleology Holding hasn’t been confirmed as the new owner of 9Mobile. In a statement issued Friday, the board of NCC reassured stakeholders of its commitment to ensure that the nation’s fourth largest Mobile Network Operator, EMTS/9Mobile, is duly taken over by investors […]

The Nigerian Communications Commission (NCC) has said 9Mobile sale isn’t concluded yet, and Teleology Holding hasn’t been confirmed as the new owner of 9Mobile.

In a statement issued Friday, the board of NCC reassured stakeholders of its commitment to ensure that the nation’s fourth largest Mobile Network Operator, EMTS/9Mobile, is duly taken over by investors with the requisite technical capability and pedigree to manage the organisation.

Rising from its board meeting held in Abuja on Thursday, February 22, 2018, the board affirmed its determination to avoid the recurrence of any missteps that may have led to the current situation.

“The Board also made it clear that pursuant to the powers conferred on the Commission by the provisions of the Nigerian Communications Act 2003 and other instruments in that regard, the Commission will ensure that all relevant statutory and regulatory processes are duly complied with in the process leading up to the emergence of new owners for the company”, the statement signed by NCC’s director of public affairs Tony Ojobo, said.

The NCC board therefore assured all stakeholders that the “Commission will apply all necessary diligence to see the ongoing sale process through to its logical conclusion in a manner that protects the overall national interest and the seamless operation of the national telecommunications network.”

But the chief executive officer of 9Mobile, Mr Boye Onasanya, was reported to have confirmed that Teleology Holding is the preferred buyer of the telecommunication company.

This revelation by Mr Onasanya came as Barclays Africa, the financial adviser handling the sale of 9mobile, also transmitted an official letter to Teleology Holdings Limited, confirming it as the preferred bidder in the sale of 9mobile, according to an online report.

Olusanya was quoted to have said Teleology Holdings emerged the best bidder in the sale process, while Smile Telecoms Holdings is considered as reserved bidder if Teleology reneges on its bid for the multimillion-dollar company.

In a communication with members of staff, Olusanya said its lenders, presumably Barclays Africa, will now engage Teleology to finalise negotiations on the sale of the company, the report said.

“In line with my previous communications on the bid process, discussions and negotiations have put the board in a position to name Teleology Holdings as the preferred bidder for our company,” Olusanya said in the memo.

“The lenders will now engage Teleology Holdings to conclude other aspects of the negotiation and I will continue to provide updates as and when the milestone occur.”

The letter also directed Teleology Holdings to make a non-refundable cash deposit of $50 million within 21 days from the date of the letter, dated February 21, 2018, or lose the bid to the reserve bidder, Smile Holdings Limited.

NCC had on February 1, 2018, clarified that it was yet to receive any information from Barclays Africa and 9mobile concerning the sale of 9mobile, and dismissed as speculations and reports making the rounds then, that Teleology had emerged as the preferred bidder.

Teleology, a private equity firm with an investment portfolio of $11bn, offered more than $500 million to acquire the mobile network while Smile offered about $300 million.