27 July 2018 ( Lagos ) : According to media sources, the takeover process of 9mobile by investment company Teleology Holdings is in its final stages and should be completed soon following an extension of earlier timelines. The Nigerian Communications Commission is reportedly performing due diligence on the deal and is in the final stages of signing off on the transfer of license.
Meanwhile, after making an initial non-refundable deposit of $50 million, Teleology has reportedly placed another $301 million for the deal financing in an escrow account with the Afrexim Bank. Analysts note that the company partnered with Safaricom, East Africa’s largest telecoms operator, for this takeover of Nigeria’s fourth largest telco.
Given that 9mobile has been adversely hit since the news about its loan default, with market share dropping from 15% as at January 2017 to 10% in June 2018, analysts believe a Teleology acquisition could be promising in restoring its reach, strengthening infrastructure investment, and regaining subscribers.
Reporting for EasyKobo on Friday, 27 July 2018 in Lagos, Nigeria
Source: Vetiva Capital Management Limited