South Africa’s MTN and Nigeria’s Globacom are among six bidders still in the race for the privatisation of Nitel, the Bureau of Public Enterprises said.
However, the two may be blocked from acquiring Nitel’s mobile asset M-Tel, after the telecom…
South Africa’s MTN and Nigeria’s Globacom are among six bidders still in the race for the privatisation of Nitel, the Bureau of Public Enterprises said.
However, the two may be blocked from acquiring Nitel’s mobile asset M-Tel, after the telecom regulator warned bids from local GSM operators would be banned to prevent unfair competition.
A spokesperson said the winner(s) should be announced next week, on February 16.
Also shortlisted for the sale is Brymedia, a consortium led by former MTN Nigeria CEO Adrian Wood, who has allied with Australian, South African, UK and Nigerian entrepreneurs and financial investors to bid for the incumbent. The consortium 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.
The remaining bidders include New Generation Telecommunications – led by Telefonica – and two consortia called Omen International and AF21/Spectrum respectively.
This is the latest in a string of attempts at privatising Nitel since 2001. In its latest form, the process invited suitors to bid for at least 75% of Nitel or of one or several of its units. These include M-Tel as well as Nitel’s CDMA network, its link to the SAT-3 cable and its national fibre optic backbone.
A consortium led by BNP Paribas and Eledas Capital Partners is advising the government.
