A consortium of banks, led by Access Bank PLC and other
Nigerian and foreign banks, has taken over the management of Etisalat
Nigeria, effective June 15.
The
takeover followed the collapse of the effort by Emerging Markets
Telecommunications Services, EMTS, promoted by-one time Chairman, United
Bank for Africa, UBA, Hakeem Bello-Osagie, to reach agreement with the
banks on debt restructuring plan in the protracted $1.72 billion (about
N541.8 billion) debt impasse.
However,
EMTS Holding BV, established in the Netherlands, has up to June 23 to
complete the transfer of 100% of the company’s shares in Etisalat to the
United Capital Trustees Limited, the legal representative of the
consortium of banks.
Etisalat
Group, the parent company of Etisalat Nigeria, announced the takeover
on Tuesday in a filing to the Abu Dhabi Securities Exchange in Abu
Dhabi, United Arab Emirate.
The
loan, which involved a foreign-backed guaranty bond, was for the mobile
telephone operator to finance a major network rehabilitation and
expansion of its operational base in Nigeria.
Unable
to meet its debt servicing obligations agreed since 2016, the
consortium, prodded by their foreign partners, threatened to take over
the company and its assets across the country.
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