Nitel/Mtel will get New Investor By Feb 2009

Mergers, Acquisitions and Financial Results

Speaking through the National Council on Privatisation (NCP), government said that it had fixed February 6, 2009 as the handover date of NITEL/Mtel to a new private owner, having scaled down the time-frame from an initial seven-month period earlier approved for the financial advisors.

According to a workplan on NITEL/Mtel approved by the NCP for the Bureau of Public Enterprises (BPE), management presentations and finalisation of transaction documents of bidders will be concluded by December 22 this year, while preparation and submission of technical and financial bids with payment of 50 per cent of bid amount will be done by January 15 next year.

Evaluation of technical proposals is slated to end by January 20 and these are to be approved by the technical committee of the NCP on 21st of January.

The opening of financial bids is scheduled for January 27, 2009, while the approval of the financial offers by NCP is to be done by February 2nd. With this, the owners of NITEL/Mtel will emerge.

The process will end between the 3rd and 6th of February 2009 when negotiation and signing of the Share Sales Purchase Agreement (SSPA) would be done between the new buyers and the federal government after payment of the full financial bid.

It was also reported this week that Russia's Altimo has expressed interest in taking a stake in Nigerian operator, M-Tel/NITEL. Altimo's Chief Executive Officer, Mr Alexey Kousmichoff is currently on a visit to Nigeria's Vice-President.

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