Multilinks, Starcomms, and MTS – three Nigerian CDMA (code division multiple access) operators – are considering bringing together their businesses, according to local publication Leadership citing regulatory and company sources.
The new players…
Multilinks, Starcomms, and MTS – three Nigerian CDMA (code division multiple access) operators – are considering bringing together their businesses, according to local publication Leadership citing regulatory and company sources.
The new players would be combined in a new entity called Capcom, which would receive funding of up to US$200m.
Investors in the company are expected to include MBC, Middle East Capital Group and Helios Investment Partners, wrote Leadership.
Starcomms declined to comment on the report, while Multilinks and MTS did not respond to request for comment before the press deadline.
The three operators have been struggling to survive in the Nigerian market dominated by MTN, Glo Mobile, Airtel, Etisalat, which all use GSM technology.
But as a result of this merger, the CDMA segment, which has been rather subdued in the country compared to GSM, is expected to bounce back, according to the publication. The fourth CDMA operator is Visafone, which has fared better than its competitors relying on the same technology.
