One of Nigerian's top telecommunication network provider, Etisalat is set to face out from Nigeria due to the termination of Abu Dhabi with its Nigerian arm. Nigerian regulators intervened last week to save the telecom company
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.
Dowidar said discussions were ongoing to provide technical support, adding that it can use the brand for another three weeks before phasing it out. n Monday, Mr. Dowidar said all UAE shareholders of Etisalat Nigeria, including state-owned investment fund Mubadala, had exited the company and left the board and management.
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Speaking in an interview with Reuters, he disclosed that discussions were ongoing with Etisalat Nigeria to provide technical support, adding that it could continue to use the brand for another three-weeks before phasing it out.
“There’s a new board and we are not part of that company. We have sent our termination letter for the management agreement,” the Etisalat boss said on Monday.
Etisalat Nigeria took-out a $1.2 billion loan with 13 local lenders in 2013 to refinance an existing loan and fund expansion, but struggled to repay four years later.
Mr. Dowidar said parent Etisalat had written down the value of the Nigerian business on its books and that transferring its 45 percent stake to the lenders after loan renegotiation talks collapsed had no impact on the group.
All UAE shareholders of Etisalat Nigeria have exited the company and have left the board and management, Hatem Dowidar said in an interview.
Dowidar said discussions were ongoing to provide technical support, adding that it can use the brand for another three weeks before phasing it out. n Monday, Mr. Dowidar said all UAE shareholders of Etisalat Nigeria, including state-owned investment fund Mubadala, had exited the company and left the board and management.
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Speaking in an interview with Reuters, he disclosed that discussions were ongoing with Etisalat Nigeria to provide technical support, adding that it could continue to use the brand for another three-weeks before phasing it out.
“There’s a new board and we are not part of that company. We have sent our termination letter for the management agreement,” the Etisalat boss said on Monday.
Etisalat Nigeria took-out a $1.2 billion loan with 13 local lenders in 2013 to refinance an existing loan and fund expansion, but struggled to repay four years later.
Mr. Dowidar said parent Etisalat had written down the value of the Nigerian business on its books and that transferring its 45 percent stake to the lenders after loan renegotiation talks collapsed had no impact on the group.
Breaking News! Etisalat Pulls Out Of Nigeria!
When asked whether Etisalat would consider entering Nigerian market again, Mr. Dowidar dismissed the possibility of such move.
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