Nigerian Federal Government Approves the Sale of Nitel


The Nigerian Federal Government last week approved the issuing of a Request For Proposals (RFPs) to eleven consortia/consultants to be advisor for the sale of Nitel. Following the agreement between existing owners Transcorp and the Federal Government, it was agreed that both should shed sell some of their shareholding to introduce a new strategic investor.

Transcorp is to give up 29 per cent of its 51 per cent shares while the Federal Government will part with 22 per cent. This was to allow the new strategic investor sourced to have a controlling share of 51per cent.

The winning advisory bidder consortium will be expected to review, evaluate and market the telecommunication company. Fifteen consortia have applied to the Bureau for Public Enterprises (BPE) to be engaged as privatisation advisors for the sale of 51per cent equity in NITELMtel. The firms are: Lazard/Vetiva, Rothschild/UBA, Renaissance Capital, Millennium Finance, Awoyinfa Obafunsho &Co, CPCS Transcom, Lead Capital/Investec, FCMB/Morgan Stanley, International/HSBC, Merrill Lynch/BGL and BNP Paribas.