Minister confirms Transcorp’s continuing management of NITEL

5 Mar 2008

Transcorp is to continue to manage Nigeria Telecoms (NITEL) and its mobile subsidiary, Mobile Telecoms (M-Tel), until an investor is found to take over both companies, a government spokesman has said. Transcorp agreed to buy a 75% stake in NITEL in 2006 for USD750 million, but could only pay USD500 million and acquired a 51% stake instead. The government held the remaining 49%. The Ministry of Information and Communications (MIC) and Transcorp have been discussing the future of NITEL and M-Tel following the government’s recent attempt to reverse the 2006 sale. Minister John Odey said that the government and Transcorp met in Abuja to continue discussions, and that an agreement was reached to include a core investor under a new arrangement. He said that Transcorp would continue to hold 51% of the incumbent and manage it until a new core investor is found.

Nigeria, ntel (formerly NITEL/M-Tel)