Nigerian operator Globacom has been disqualified from bidding for local telecom incumbent Nitel, the Bureau of Public Enterprises said.
This leaves five consortia consisting of operators including China Unicom, South Africa’s Telkom, Telefonica, Telecom…
Nigerian operator Globacom has been disqualified from bidding for local telecom incumbent Nitel, the Bureau of Public Enterprises said.
This leaves five consortia consisting of operators including China Unicom, South Africa’s Telkom, Telefonica, Telecom New Zealand International and MTN Nigeria still shortlisted for the beauty contest.
Of these, MTN Nigeria bid only on Nitel’s access to the undersea cable SAT-3, while the four other consortia made an offer for at least 75% of Nitel and all its assets.
Talking to TelecomFinance, a BPE spokesperson said Globacom was disqualified as it bid for Nitel as a whole, even though local mobile operators have been banned from bidding for Nitel’s mobile arm, M-Tel.
China Unicom is leading a bid from New Generation Telecommunications, which includes GiCell Wireless, a small rural operator established in Nigeria in 2006, Dubai-based investment group Minerva and, according to a BPE spokesperson, Telefonica.
Meanwhile, China Unicom is also represented in another consortium, Omen International, in which it is listed as the technical partner. The BPE said that this didn’t represent a conflict of interest, even though the technical partners are expected to participate in the equity. The BPE says Omen is registered in the British Virgin Islands and was formed last August solely for the purpose of acquisitions such as Nitel.
Telkom South Africa, which is already present in Nigeria through its Multi-Links consortium, is bidding through a consortium with Spectrum Wireless Telecommunications, which is described as a Nigerian operator with operations abroad.
Finally, the last consortium, Brymedia, is led by former MTN Nigeria CEO Adrian Wood and includes Telecom New Zealand International. It claims to include a number of former MTN Nigeria, Celtel (now Zain) and M-Tel executives. Wood himself led MTN Nigeria from 2001 to 2004.
It is also backed by local and international investors including Nigerian senator and businessman Jim Nwobodo, Convergence Technologies, VC firm Canaan Consolidated Investments and Nigerian import, consultancy and insurance firms called Bua Group, Duwa Group and Industrial And General Insurance respectively.
