Etisalat Nigeria Limited is currently in serious trouble as the company’s largest shareholders, Mubadala Development Company of United Arab Emirates has pulled out its investment and left the country.
Those in the know squeal to us that Mubadala, an Abu Dhabi Government-owned investment and development company, controls about 70 per cent of the shares in Etisalat alongside Etisalat UAE mobile, with Emerging Markets Telecommunications Services (EMTS), sponsored by Hakeem Bello-Osagie, chairman of the company with 30 per cent.
A close source revealed that the United Arab Emirate (UAE) investor has hinted Etisalat Nigeria and the Nigerian Telecommunications Commission (NCC) its decision to opt out of the joint ownership of the company.
An inside source disclosed that: “I can tell you that Mubadala’s withdrawal took effect from Thursday, 15th June, 2017.” However, it is expected that with the withdrawal of Etisalat Nigeria’s key investor, the board might be dissolved, while the creditor banks could take over.
We reliably gathered that the ultimatum given to Etisalat Nigeria to pay up its debt has elapsed.
Recall that Etisalat Nigeria has been facing huge financial crisis following pressures from some foreign investors and Nigerian banks, led by Access Bank, to recover a $1.72 billion (about N541.8 billion) loan facility it obtained in 2015.
According to the company source; “I can’t confirm that information for now. As you are aware, discussions have been ongoing for some time now with various authorities to find ways to resolve the crisis. I am not aware that that decision has been taken.”