The Executive Vice-Chairman of Nigerian Communications Commission, NCC, Professor Umar Danbatta has confirmed that five firms have emerged as bidders for troubled telco, 9Mobile (formerly Etisalat). The five bidders, are Airtel, Globacom, Smile Communications, Helios Investment Partners, and Teleology Holdings Limited. MTN was not listed among the final 5 successful bidders.
- Teleology holdings is a joint venture between ExMTN Chief Executive Officer Adrian Wood and Ericcson.
- Globacom is one of Nigeria’s GSM operators and is owned by billionaire businessman Mike Adenuga.
- Smile is an Africa focused telco with operations in Nigeria, Tanzania and Uganda.
- Bharti Airtel Limited is an Indian global telco services company based in New Delhi, India. It operates in 18 countries across South Asia and Africa.
- Helios, a private equity investing firm operating in Africa and based in London, United Kingdom.
Prof Danbatta also said the next stage of the sale process after due diligence would be for the firms evidence of strong financial commitment to buy 9mobile.
He noted that authorities would not just handover 9mobile to any company, but to a very “technically and financially capable company.”
He assured that there would be seamless takeover of the company, and that whoever buys it would improve the fortune of the company.
Figures from Nigerian Communications Commission (NCC) as at October 2017, shows
- MTN had 50.7 million subscribers or 36.14% of Nigeria’s GSM market.
- Globacom was the second largest operator with 37.4 million or 26.6% of the market share
- Airtel 35.0 million or 25%.
- Either firm taking over 9Mobile and its 17.1 million customers, means it would be at par with MTN.
Also for Globacom, landing 9Mobile will further increase its dominance in terms of data subscribers.
Globacom has the second largest number of internet subscribers at 26 million, slightly behind MTN that has 32 million internet subscribers amounting to one-third of the 93 million subscribers that accessed the internet through GSM as at October 2017. As call revenue deepens, income from data subscription is the next frontier for telco operators in the country.
Boye Onasanya, CEO 9mobile, said it will have more extensive discussions with the shortlisted parties, as the company gets closer to its final bidder.
“We are now moving on to the next phase, with plans for more extensive DISCUSSIONS and interaction with shortlisted parties, one of whom will emerge as final bidder in the coming weeks.” Onasanya said.
Earlier, no less than 16 firms expressed interest and filed bids with Barclays, 9mobile’s financial advisor.
The companies 16 firms that submitted their Expression of Interest (EOIs) include : MTN, Airtel, Ntel, Virgin Mobile from the United Kingdom and Vodacom of South Africa.Some others are BUA Group, Morning Side Capital Partners, Obot Etiebet & Co, Blackstone Private Equity, and Hamilton and George International Limited.
It would be recalled that in July, Etisalat Group informed the Abu Dhabi Stock Exchange that it had pulled out of 9mobile, formerly known as Etisalat Nigeria, as a result of controversies surrounding the repayment of a $1.2 billion loan taken by the bank.
Since the takeover, 9mobile, the country’s fourth biggest operator, has lost subscribers. In October its total number of users had fallen to 17.1 million, giving it a 12.2 percent market share, from 20 million subscribers with a 14 percent share earlier this year.
Yomi Badejo-Okusanya, Ayeni Adekunle, Tomiwa Aladekomo, Others to speak at the Phyllion Tech Conference
The event will provide opportunities for stakeholders in technology to showcase future-driven solutions.
Phyllion unveils its line-up of reputable speakers and tech leaders who will drive the conversation about the theme; Technology Transformation in Africa, What’s Next? The event is phased into three sessions; the general session, led by the Keynote speaker and female tech influencer as moderator; the Panel discussion, and will end with the start-up pitch session.
Leading this team of tech and communications thought leaders with the Keynote Address are Yomi Badejo-Okusanya (YBO) and Adrian Clews. YBO is a renowned Public Relations Veteran, Group Managing Director of CMC Connect (Perception Managers) and President, African Public Relations Association (APRA), with over 30 years of experience in the Marketing Communications industry, while Adrian Clews is Managing Director at Hinckley Associates Nigeria, leveraging on innovative solutions to help reduce business costs & improve security.
Other reputable speakers are Tosin Faniro-Dada, who leads the Lagos Innovates Team at the Lagos State Employment Trust Fund (LSETF). She is responsible for developing and implementing programmes that provide an enabling environment for tech start-ups to thrive, and cultivating strategic partnerships to increase its reach in Lagos State.
Tomiwa Aladekomo, the Chief Executive Officer of Big Cabal Media, publisher of TechCabal and Zikoko, tech and youth publications. He is involved in building the next generation of African media brands and creating some of the most interesting original content from the continent.
Award-winning Media & Public Relations Consultant, Ayeni Adekunle, who is the Founder of the Black House Media Group (BHM), home to highly revered Public Relations Consultancy Company- BlackHouse Media, digital marketing and media company – ID Africa, and technology start-up – Plaqad.
In addition are Emmanuel Asika, Covid-19 survivor and Channel Manager for Hewlett Packard (HP), Central Africa ; Funmilola Eniolorunda, the Chief Operations Officer at fast-growing software company, Venture Garden Group ; and Segun Iffie the Global Service Delivery Manager (Nigeria) at HPE .
Noteworthy on the panel is Temi Ophylia Ibekwe, Founder, Phyllion & Partners, who is a Strategic Communications Professional with nine years hands-on experience in Public Relations and Marketing, working with consumer brands, government institutions as well as small and medium enterprises (SMEs).
Also the start-up pitch panel is packed with tech leaders such as, Managing Director, HP Central Africa, Ify Afe, CEO Edgebase Technologies, Joel Egbai, US-based Digital Business Transformation Strategist, Ogechi Chidebell and Mo Durosinmi-Etti, Program Manager at the Bulb Africa.
To host the event and moderate the sessions is a well-known female tech influencer, Tobi Ayeni, (Miss Techy).
Speaking on the conference, member of the panelist, Black House Media Group Founder, Ayeni Adekunle said, “I’ve always spoken about the importance of Nigerian companies embracing technology to transform not only their operations but the Nigerian landscape and I’m glad platforms like the Phyllion Tech PR Conference are championing the cause ensuring we set a lot of these theories in motion.”
The event will not only help determine the direction of businesses post-COVID, it would make prominent the impact of communication on tech businesses, and also reward tech-preneurs who have discovered innovative ways of solving problems in their milieu and society at large.
It is first of its kind within the sector and it provides opportunities for various stakeholders in technology to showcase future-driven solutions that will drive technology growth in the African continent.
The event is scheduled for Friday, July 17, 2020 between 12:00pm and 2:30pm. The Phyllion Tech Conference presents a platform for communication to enable technology transformation in Africa through impact-driven conversations and actions.
Deap Capital Management & Trust Plc reacts to ‘rumoured’ AMCON takeover
AMCON had dragged the company before a Court in a bid to recover the debt.
Deap Capital Management & Trust Plc has reacted to media reports about the supposed takeover of its assets by the Asset Management Company of Nigeria, AMCON.
In a statement that was signed by the Company Secretary, Yetunde Fashesin-Sousa, Deap Capital admitted that it is indebted to AMCON to the tune of N1.6 billion. It was also confirmed that AMCON owns a 20% equity stake in the fund management firm.
Note that the indebtedness arose after AMCON took over ownership of certain banks. Apparently, these are banks that Deap Capital originally owed. However, following the transfer of the unnamed banks’ assets to AMCON, the debts were also transferred alongside.
Meanwhile, AMCON had dragged the company before the Federal High Court in Lagos in a bid to recover the debt. A ruling on the case, which was delivered on January 28 by the Hon Justice John Terhemba Tsoho, was in AMCON’s favour.
Following the ruling, AMCON began the process of recovering the debt from Deap Capital Management & Trust Plc. The company said it has been cooperating in this regard by working towards repaying the debt.
The company also clarified that the assets that were taken over by AMCON belonged to its former directors whose names were not mentioned. Nairametrics could not verify if these directors are among those who were recently reinstated by the Securities and Exchange Commission, SEC. But we do know that AMCON had obtained a court order to attach the ‘former directors’ assets’ in its attempt to recover the N1.6 billion debt.
In the meantime, Deap Capital Management & Trust Plc said it is committed to resolving its operational challenges, including the recovery of its operational license and profitability issues. The company’s latest earnings report (for its Q1 period ended December 31st, 2019) showed a total income of N1 billion. There was also a N6.3 million loss for the period under review.
Deap Capital’s stock opened today’s trading session on the Nigerian Stock Exchange with a share price of N0.30. Year to date, the stock has declined by some -18%.
How to get creative sector loan from the CBN, Bankers Committee
The bank will then discuss, analyze your request and if successful will disburse the funds.
The Central Bank of Nigeria (CBN), in collaboration with the Bankers’ Committee, has outlined how to get the creative sector loans.
Both parties developed a Creative Industry Financing Initiative (CIFI) as part of efforts to boost job creation in Nigeria, particularly among youths in the country. The initiative has four pillars which include Fashion, Information Technology, Movie and Music.
It would be recalled that last year, the CBN in conjunction with the Bankers’ Committee unveiled the Creative Industry Financing Initiative (CIFI), which was to enable businesses to obtain loans up to the tune of N500 million.
Interested applicants in the creative industry are advised to submit their applications to their banks for approval and subsequent disbursement.
How to benefit from the Creative Industry Financing Initiative (CIFI): The categories of businesses to benefit from this include Fashion, Information Technology, Movie Production, Movie Distribution, Music and Software Engineering Student Loan.
Part of the steps in applying for the loan is to prepare your business plan or statement on how much you want for your business.
You can get a loan of up to:
- N3 million for a Software Engineering Student
- N30 million for a Movie Production business
- N500 million for a Movie Distribution business
- Cover your rental/service fees for Fashion and Information Technology businesses
- Cover your training fees, equipment fees and rental/service fees for Music business
After preparation of the business plan stating how much is needed for the business, applicants are advised to go to any bank of their choice to apply for the loan.
The bank will then discuss, analyze your request and if successful will disburse the funds. It must be noted that the maximum interest rate of 9% per annum (all charges inclusive) is applicable to all loans.
The period for the repayment of the loan in the different categories are:
- For Software Engineering Student Loan, it is a maximum of 3 years
- For Movie Production and Distribution, it is a maximum of 10 years
- For Fashion, Information Technology (IT) and Music, it is a maximum of 10 years.
For more information, you can visit www.cbn.gov.ng