• Contact Us
  • About Us
Saturday, July 26, 2025
  • Login
MetroBusinessNews
  • Home
  • Economy
  • Politics
  • News
  • Companies and Markets
  • Energy
  • Sports
  • Real Estate
No Result
View All Result
  • Home
  • Economy
  • Politics
  • News
  • Companies and Markets
  • Energy
  • Sports
  • Real Estate
No Result
View All Result
MetroBusinessNews
No Result
View All Result
ADVERTISEMENT
Home News

Abu Dhabi’s Mubadala fund pulls out of Etisalat Nigeria

metro by metro
June 24, 2017
in News, Technology
0
0
SHARES
0
VIEWS

Abu Dhabi state investment fund Mubadala has pulled out of Etisalat Nigeria after the telecoms firm failed to renegotiate a $1.2 billion loan taken out four years ago with 13 Nigerian banks, the central bank said on Friday.

It gave no details on what it meant by “pulled out” but said it had intervened in the loan renegotiation talks to prevent job losses and asset stripping.

Read Also

France To Recognise Palestinian State In September, Macron Says

Coalition Leaders Will Support Whoever Emerges As ADC Presidential Candidate- Amaechi

Lagos, Kogi, Borno, 25 Others & Abuja Get Fresh 2 Weeks Flood Alert From NIHSA

 Etisalat Nigeria had repaid $500 million of the loan before it defaulted in February due to a currency devaluation and its only remaining investors are its Nigerian partners, led by company chairman Hakeem Belo-Osagie.

On Tuesday, parent company United Arab Emirates’ Etisalat, said it was carrying its 45-percent stake at nil value, and that the Nigerian lenders had ordered it to transfer its shares to a loan trustee by June 23 after the renegotiation failed.

Neither Etisalat nor Mubadala, which owns 40 percent of Etisalat Nigeria, could be reached for comment.

“Given the inability of Etisalat (Nigeria) to come to an acceptable agreement with the banks, the largest shareholder in the company, Dubai-based Mubadala Development Company of the United Arab Emirates, has now pulled out of the company as well as the ongoing negotiations,” the central bank said.

“It was based on the attempt of the banks to takeover the company that the financial and telecommunications regulators have moved in to intervene and forestall down-sizing and asset stripping,” it said.

In March, the central bank, which is also the banking watchdog, and the Nigeria Communications Commission (NCC)regulator tried to prevent lenders placing the firm in receivership to avoid a wider debt crisis and agreed with banks to pursue a default deal.

But lenders, under pressure to avoid loan-loss provisions, have been pushing to finalise a restructuring before half-yearly audits this month.

Central bank spokesman Isaac Okorafor said representatives from the central bank and the telecoms regulator would hold talks in the next few days with lenders and IHS Towers, the mobile phone tower managers, as well as “equipment suppliers”.

The original loan was a seven-year facility to refinance a $650 million loan and fund expansion of Etisalat Nigeria’s network. The company missed payments in February after sharp falls in the Nigerian naira bloated the loan’s value, making repayments difficult.

Etisalat is Nigeria’s fourth biggest mobile operator with a 14-percent market share. South Africa’s MTN has 47 percent, Globacom 20 percent and Airtel – a subsidiary of India’s Bharti Airtel – 19 percent of Nigeria’s mobile phone market. (Additional reporting by Alexis Akwagyiram in Lagos and Stanley Carvalho in Abu Dhabi; Editing by Louise Ireland)

 

Tags: Etisalat Nigeria
Previous Post

FG hopes to generate $1 bln from tax evasion amnesty -finance ministry

Next Post

Buhari sends first message since taking sick leave on May 7 -presidency sources

Related Posts

France To Recognise Palestinian State In September, Macron Says
News

France To Recognise Palestinian State In September, Macron Says

July 24, 2025
Coalition Leaders Will Support Whoever Emerges As ADC Presidential Candidate- Amaechi
News

Coalition Leaders Will Support Whoever Emerges As ADC Presidential Candidate- Amaechi

July 23, 2025
NiMet Predicts Three Days Of Heavy Rainfall In Ogun, Five Other States
News

Lagos, Kogi, Borno, 25 Others & Abuja Get Fresh 2 Weeks Flood Alert From NIHSA

July 22, 2025
Trump Accuses Obama Of Treason, Calls For Prosecution
News

Trump Accuses Obama Of Treason, Calls For Prosecution

July 22, 2025
Next Post

Buhari sends first message since taking sick leave on May 7 -presidency sources

Fidelity Bank Empowers SMEs with Business Management Systems

Fidelity Bank Empowers SMEs with Business Management Systems

July 26, 2025

Nigeria’s N373Trillion GDP-A Restart For The Economy

July 26, 2025

Yango Group opens a new regional office in Abidjan to power African growth

July 25, 2025
MetroBusinessNews

© 2022 Metro Business News

Navigate Site

  • Contact Us
  • About Us

Follow Us

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Economy
  • Politics
  • News
  • Companies and Markets
  • Energy
  • Sports
  • Real Estate

© 2022 Metro Business News

Go to mobile version