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The telco has constituted a new board as it prepares for life under its new owner. It has recently appointed Obafemi Banigbe as its Chief Executive Officer. The telco was struggling because of poor bottom lines
Nigeria’s 9Mobile Emerging Markets Telecommunication Services Limited has been acquired by LH Telecommunication Limited. The telco revealed that the Nigerian Communications Commission (NCC) and the Federal Competition and Consumer Protection Commission (FCCPC) approved the acquisition of its majority shares as required by law.
The telco has constituted a new board as it prepares for life under its new owner. It has recently appointed Obafemi Banigbe as its Chief Executive Officer. The telco was struggling because of poor bottom lines.
9Mobile has faced tough times since Etisalat Abu Dhabi, United Arab Emirates, exited the Nigerian over a US$1.2 billion loan crisis in 2017. The telco has struggled to invest in its network, translating to poor network reception for subscribers. The telco’s subscriber base has fallen from 16.96 million in December 2017 to 11.66 million in January 2024.
The investment was approved by the African Export-Import Bank (AFREXIM), in May 2023. This has resulted in a change in control of 9Mobile in favour of the new investor by issuing new shares amounting to 95.5 percent of 9Mobile to the new investor in consideration of the injection of fresh capital into the company.
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Since its investors left, talks of an acquisition have trailed it. In 2023, there were reports that MTN was interested in acquiring 9Mobile’s operating spectrum. In media reports, MTN Group’s spokesperson, Nompilo Morafo, confirmed that its Nigerian arm was exploring national roaming opportunities. 9Mobile’s re-entry will toughen the telco industry competition, where MTN, Airtel, and Glo have been major players, analysts say.
