Bitflux Communications, a consortium of three Nigerian companies, has won a 2.3 GHz licence for US$23m, beating analysts’ expectations.
The consortium was competing against Globalcom, the country’s second-largest telecoms operator, which was seen as…
Bitflux Communications, a consortium of three Nigerian companies, has won a 2.3 GHz licence for US$23m, beating analysts’ expectations.
The consortium was competing against Globalcom, the country’s second-largest telecoms operator, which was seen as the most likely winner by industry experts.
Bitflux bid around 5.5% above the reserve price.
The 10-year licence will allow the company to deliver broadband across Nigeria to ISPs and other retail telecoms services providers, the Nigerian Communications Commission (NCC) previously said.
Several telecoms operators were reportedly hoping to get shortlisted for the auction, including MainOne.
Mobitel, Spectranet, and Multilinks already occupy that band to provide broadband services. In early 2013, local media suggested that the companies had opposed a potential tender and instead suggested the extra spectrum should be split between them.
But NCC’s executive vice chairman Eugene Juwah said in November the auction would ensure “transparency in the assignment of the available spectrum”.
The government is reportedly looking to improve the quality of services provided and is aiming for an 80% broadband penetration target by 2017, in order to stimulate Nigeria’s economy.
