A technical committee of the National Council of Privatisation (NCP) has cleared the Nitel tender process of any wrongdoing.
The committee found that the Bureau of Public Entreprises (BPE) had carried out the sale process correctly, BPE spokesperson…
A technical committee of the National Council of Privatisation (NCP) has cleared the Nitel tender process of any wrongdoing.
The committee found that the Bureau of Public Entreprises (BPE) had carried out the sale process correctly, BPE spokesperson Chigbo Anichebe said.
The sale has been mired in controversy since the BPE unveiled an extraordinary US$2.5bn bid to acquire 75% of Nitel from a consortium called New Generation Telecommunications.
Now the BPE’s decision needs the approval of the NCP to go through, something which Anichebe said should hopefully happen next week.
Political problems have so far hindered the NCP from meeting, in part because its chairman, Goodluck Jonathan, was recently appointed acting president of the country.
The NCP consists of a few ministers, including from the finance, industry and national planning ministries; representatives from the private oil and gas and financial sectors; representatives from organised trade unions and individuals including the governor of the central bank and the president’s special advisor on economic matters.
Once its approval is given, the shortlisted bidder has 10 days to come up with 30% of the payment.
Local rural operator GiCell Wireless, which is leading New Generation, says 51% of the funding will come from a Dubai-based investment group called Minerva. Another 20% could come from China Unicom Europe, he said, while the rest would come from GiCell and backers including the bank that advised the consortium in its bid, BGL.
GiCell itself will look to raise loans and credit agreements with local banks to raise the necessary funds, CEO Usman Gumi said.
