$1.2 Billion Debt: Etisalat Finally Pulls Out Of Nigeria
Abu Dhabi’s Etisalat has terminated its management agreement with its Nigerian arm and given the business time to phase out the brand in Nigeria, the chief executive of Etisalat International told REUTERS on Monday.
Nigerian Communications Commission, NCC, the local regulators intervened last week to save Etisalat Nigeria from collapse after talks with its lenders to renegotiate a $1.2 billion loan failed.
All UAE shareholders of Etisalat Nigeria have exited the company and have left the board and management, Hatem Dowidar said in an interview.
He said discussions were ongoing with Etisalat Nigeria to provide technical support, adding that it can use the brand for another three-week before phasing it out.
Prompt News Online recalls that Emerging Markets Telecommunication Services Limited also known as Etisalat Nigeria had last month announced the commencement of its restructuring with changes to its shareholding following collapse of loan talks.
A statement by Ibrahim Dikko, Vice President, Regulatory & Corporate Affairs, read “Etisalat Nigeria can now confirm the first stage of this has begun with a change in shareholding which was announced to the Abu Dhabi Stock Exchange this morning.
“Etisalat Nigeria can confirm discussions are on-going regarding other issues such as the trading name during this transition phase. Operations and services to our subscribers remain normal and will in no way be affected as we continue to deliver quality services to our subscribers.
“We will continue to tap into the rich, creative and innovative resources within our workforce to build a stronger business upon the stable foundation we have laid in our 9 years of operations.
“Etisalat Nigeria wishes to express its profound gratitude to the Government, the Nigerian Communications Commission, (NCC) and the Central Bank of Nigeria for their patriotic zeal and tireless efforts at ensuring collaborative and productive engagement.
“We are also appreciative of the tremendous support we have received from the media since inception and we count on their continued support as we transition to a stronger business.
“We will update our stakeholders and the public on further developments shortly.”