Adquet 2

Jum 4

Monday, 10 July 2017

Etisalat quits Nigeria, gives three-week ultimatum for brand phase out


Etisalat has terminated its management agreement with its Nigerian arm and has given Etisalat Nigeria three weeks to phase out the brand in the country.
The Abu Dhabi-owned telecommunications networks took the decision after it’s $1.7bn loan talks collapsed.
Chief executive of Etisalat International, Hatem Dowidar said on Monday that the there was no need for the brand in Nigeria after the collapse of the loan talks.
Nigerian regulators intervened last week to save Etisalat Nigeria from collapse after talks with its lenders to renegotiate a $1.2bn loan failed.
Although Etisalat Nigeria in a statement issued three weeks ago claimed that it had repaid 42 percent of the loan.
“As at today, we can categorically state that the outstanding loan sum to the consortium (of banks) stands at $227m and N113bn, a total of about $574m if the naira portion is converted to US Dollars. This, in essence, means almost half of the original loan of $1.2bn, has been repaid.
“Etisalat continued to service the loan up until February 2017, when discussions with the banks regarding the repayment restructuring commenced,” Ibrahim Dikko, vice-president, Regulatory & Corporate Affairs of Etisalat Nigeria said.
However, Etisalat International announced on Monday that it was pulling out as all UAE shareholders of the company have exited and left the board and management of the Nigerian brand.
Source: The nation 
Post a Comment