Etisalt Nigeria Confirms Change Of Name To 9Mobile

Etisalat Nigeria on Tuesday confirmed it has changed its name to 9mobile.

The confirmation was contained in a statement by the company’s Chief Executive Officer, Boye Olusanya.

The statement said: “Emerging Markets Telecommunication Services Limited (EMTS), which previously traded as ‘Etisalat Nigeria’ wishes to inform its over 20 million subscribers, government, regulatory agencies and all relevant stakeholder groups that the telecommunication company has changed its name to 9mobile as a further testament of our unwavering commitment to ensuring business continuity as Nigeria’s fourth largest telecom operator.”

Olusanya said the name represents its heritage and its evolution over nine years.

He said: “Our new trading name, 9mobile represents our 0809ja heritage, our 9ja-centricity, and our evolution over 9 years of operations in Nigeria.

“Although our trading name has changed, we remain true to the same values on which our company was built.

“A strong and resilient Nigerian spirit continues to reside in us, uniting us with you our subscribers and we are confident that you will continue to believe in our new brand, which strongly reflects our innate creativity and youthfulness.

“Furthermore, this rebrand is a testament to our dynamism, responsiveness and agility as a business, while we leverage the power of technology to deliver innovative products and services that meet your needs.

“Our confidence in our ability to continue to make this happen is bolstered by the sheer determination, commitment and passion of our people to do more; and continue delivering excellent service.

“In order to ensure the change of name is delivered efficiently and responsibly, we will take a measured approach to the migration to the new brand over the next few months.

“Therefore as we go through this transition, our esteemed subscribers we ask for your patience and reaffirm our commitment to remain a listening brand.

“We will continue to innovate, support, and empower you to do more – whether as an individual or a business.

“To our business partners, your unwavering belief in the strength of our brand inspires us to do more. We will remain committed to working together and exploring possibilities to achieve our mutual goals; and to our stakeholders, we thank you for your abiding faith in us.

“We will ensure that our core values of Innovation, Customer-centricity, and superior Quality of Service remain the pillars upon which we operate.

“The soul of our business remains authentically Nigerian.

“We are Here for You, Here for 9ja!”

By Chijioke Jannah

JUST IN: Etisalat To Change Brand Name To 9Mobile

Etisalat Nigeria is now set to change its brand name to 9Mobile

DAILY POST gathered that an announcement to the effect will be made soon.

Etisalat had terminated a management agreement with its Nigerian arm and will phase out the brand in three weeks.

Reuters reported that the Chief Executive of Etisalat International, Hatem Dowidar, said the company with a 45% in the Nigerian business, is transfering its shares to a loan trustee after the talks had failed.

Dowidar also confirmed that all UAE shareholders of Etisalat Nigeria, including state-owned investment fund Mubadala, have left the company.

“There’s a new board and we are not part of that company. We have sent our termination letter for the management agreement,” he said.

When asked if the company will return to the country anytime soon, Dowidar replied: “the train has left the station on that one. Being in that market as an investor … are we willing to risk more money compared to the reward for the long-term?

“(Nigerian) lenders may try to continue to operate the company until they find a buyer (or) they may merge the company with the existing players in Nigeria, he said, adding that it was tough to say what lenders would do.

“The brand agreement in either of these two scenarios won’t be a long-term thing, so we take out the brand; in the long term Etisalat won’t be in Nigeria.”

By Wale Odunsi

Etisalat Pulls Out Of Nigeria

Etisalat has ended its management contract with its Nigerian arm.

It announced on Monday that it was pulling out of Nigeria as all UAE shareholders of the company had left the country and exited the board and management of the Nigerian brand.

The decision of the Abu Dhabi owned telecommunications networks resulted after its $1.7 billion loan talks collapsed.

Chief executive of Etisalat International, Hatem Dowidar, said that there was no need for the brand in Nigeria after the collapse of the loan talks.

He said that Etisalat Nigeria had been given three weeks to phase out the brand in the country.

Dowidar said: “discussions are ongoing with Etisalat Nigeria to provide technical support. Meanwhile, it can use the brand for another three-weeks before phasing it out.”

Nothing was said about how this will affect the network and its integrity as million of Nigerians are subscribed to the network.

However, it could be recalled that the Nigerian Telecommunications Commission (NCC) assured that the network’s integrity would not be compromised amid the loan disagreements.

By Chijioke Jannah

Access Bank, UBA, Others Take Over Etisalat Over Debts

One of Nigeria’s telecommunication companies, Etisalat has now been taken over by ten major Nigerian lenders.

The lenders include, Zenith Bank, GT Bank, First Bank, UBA, Fidelity Bank, Access Bank, Ecobank, FCMB, Stanbic IBTC Bank and Union Bank.

The take-over came as a result of a futile effort by Emerging Markets Telecommunications Services, EMTS, promoted by-one time Chairman, United Bank for Africa, UBA, Hakeem Bello-Osagie, to reach agreement with the banks on debt restructuring plan in the protracted $1.72 billion (about N541.8 billion) debt impasse.

However, EMTS Holding BV, established in the Netherlands, has up to June 23 to complete the transfer of 100 percent of the company’s shares in Etisalat to the United Capital Trustees Limited, the legal representative of the consortium of banks.

Etisalat Group, the parent company of Etisalat Nigeria, announced the takeover on Tuesday in a letter filed to the Abu Dhabi Securities Exchange in Abu Dhabi, United Arab Emirate.

A letter dated June 2017, with No. Ho/GCFO/152/85 signed by Etisalat Group Chief Financial Officer, Serkan Okandan, noted that efforts by EMTS to restructure the repayment of the syndicated loan by a consortium of banks to Etisalat Nigeria collapsed.

It added, “Further to our announcement dated 12 February, 2017, Emirates Telecommunications Group Company PJSC, ‘Etisalat Group’[ would like to inform you that Emerging Markets Telecommunications Services Limited ‘EMTS’ (‘the company), established in Nigeria and an associate of Etisalat Group with effective ownership of 45% and 25% ordinary and preference shares respectively, defaulted on a facility agreement with a syndicate of Nigerian banks (‘EMTS Lenders’).

“Subsequently, discussions between EMTS and the EMTS Lenders did not produce an agreement on a debt restructuring plan.

“Accordingly, the Company received a default and security Enforcement Notice on 9 June 2017 requesting EMTS Holding BV (EMTS BV) established in the Netherlands, and through which Etisalat Group holds its interest in the company) requiring EMTS BV to transfer 100% of its shares in the company to the United Capital Trustees Limited (the Security Trustee”) of the EMTS Lenders by 15 June 2017.

“Subsequently the EMTS Lenders extened the deadline for the share transfer to 5.00 pm Lagos time on 23 June 2017,” the filing said.

The Telecommunication company has been under pressure since 2016, following the demand notice for the recovery of a $1.72 billion (about N541.8 billion) loan facility it obtained from a consortium of banks in 2015.

The loan, which involved a foreign-backed guaranty bond, was for the mobile telephone operator to finance a major network rehabilitation and expansion of its operational base in Nigeria.

Unable to meet its debt servicing obligations agreed since 2016, the consortium, prodded by their foreign partners, threatened to take over the company and its assets across the country.

But, the intervention of the telecom sector regulator, Nigerian Communications Commission, NCC, and its financial sector counterpart, the Central Bank of Nigeria, CBN, succeeded in persuading the banks to rethink their threat and give Etisalat a chance to renegotiate the loan’s repayment schedule.

By John Owen Nwachukwu

Bank Loans: Etisalat Reaffirms Continuation of Negotiations

…Foresees Early Resolution 

Lagos, Nigeria, 16th June 2017: Etisalat Nigeria is aware of news reports to the effect that Mubadala Development Company, the majority shareholder of the company is exiting the business. Whilst it is premature at this stage of the ongoing discussions to affirm that this is the conclusive option, Etisalat Nigeria considers it pertinent to state that parties to the negotiation are considering a number of options and discussions are at an advanced stage regarding the syndicated loan agreement with the banks. It will therefore be presumptive and in bad faith to begin to predict the outcome.   Discussions have so far been quite collaborative and we expect to reach a final resolution next week, by which time we will be in the position to make a definitive announcement.

Etisalat Nigeria can confirm that negotiations with the consortium of banks regarding the syndicated loan agreement signed in 2013 have reached an advanced stage. As noted in an earlier statement, we are considering a number of options and are not taking anything off the table at this time.

Etisalat remains a viable business, having recorded its best financial year in 2016. Parties are keen to ensure that the ongoing discussions and eventual outcome do not affect the day to day operations of the business whether now or after the announcement of our agreement. All parties have continually demonstrated an interest in the continued operations of Etisalat as a business as it remains the backbone of millions of small business owners; multinationals, government and indeed Nigerian subscribers in general. 

Etisalat therefore appeals to its partners in the media to exercise some restraint in speculating the outcome of the ongoing discussions being held behind closed doors. We appreciate the tremendous support we have received since inception and count on the continued support of our media partners as we navigate this path and emerge as a stronger business.

Signed:

Ibrahim Dikko

VP, Regulatory & Corporate Affairs

Etisalat Nigeria