Ericsson Acting as Technical Partner in Nigerian Telco Bid
Published on: 25th Jul 2011
Note -- this news article is more than a year old.
Nigerian telecoms firm, Snytel has reportedly signed an agreement with Ericsson to help fund a possible purchase of the state owned telco, Nitel and its mobile subsidiary, Mtel.
The sale of the state-owned telco has been fraught with cancelled sales, aborted bids and re-nationalization.
According to local newspaper, ThisDay, Snytel will partner with Ericsson as a technical partner to buy 75% of Nitel. However, it is also claimed that a USD1 billion in funding from a USA based investor has been sitting in a Netherlands- based financial institution for over a year waiting to be invested in the company.
The biggest attempts to sell Nitel foundered after the winning bidders were unable to raise the promised deposits for the purchase.
Snytel's Chairman and CEO, Mr. Precious Elekima confirmed the existence of such partnership with Ericsson and provision of over $1 billion by DIKAI towards acquisition of NITEL/Mtel.
He said they have perfected plans to acquire and revive NITEL/Mtel to optimum capacity and assured that the telecommunication outfit would be fully operational within 180 days.
Their proposal has been passed to the government for consideration.
On the web: ThisDay