559
559 points
Loading...

As we reported earlier A consortium of three Nigerian banks and their foreign counterparts Wednesday took over Etisalat Nigeria after the telecommunications company failed to pay a loan sum totalling $1.72bn (about N541.8bn) granted to it by the consortium in 2015.

The three Nigerian banks are Guaranty Trust Bank, Access Bank and Zenith Bank.

‎As reported by the The PUNCH, according to a former executive director at GTB, who was privy to details concerning the loan facility, the action became necessary since the Nigerian Communications Commission could not broker a peaceful resolution between Etisalat and the lending consortium

Loading...

‎The Ex-GTB executive said the loan involved a foreign-backed guaranty bond and was given to Etisalat to finance a major network rehabilitation and expansion of its operational base in Nigeria.

He went further to say that after failing to service its debt since 2016, “the banks reported the company to the Central Bank of Nigeria and the NCC.‎”

‎According to him Etisalat management was given the option of filing for bankruptcy, but it refused to take that advice. This option, he said, would have required the banks just a management to oversee the telecoms firm’s operations.

Loading...

He said, “While all these were happening, the management‎ at Guaranty Trust Bank and the other banks concerned had thought that the Nigerian Communications Commission would have used its powers as a regulator to bail the telco out, or advise them accordingly, but it became obvious that the NCC wasn’t so interested. It was merely buying time for Etisalat.”

‎‎Meanwhile, workers at Etisalat blamed the inability of the company to fulfil its obligation to the consortium on the current economic recession in Nigeria.

Talking on the condition of anonymity, one of the people said,‎”while the control persevered responsible the venture at the monetary recession, the banks spoke back that the Asset management agency of Nigeria guidelines stressful instantaneous reduce down on the charge in their non-performing loans give them no other option.”

Loading...

She added, “We noticed this coming and this is why a lot of our colleagues, within the final six months, started resigning.”

although the NCC is not satisfied with the takeover, a pinnacle source on the regulatory body stated, “The commission became left with out a alternative than to approve the takeover. The NCC on Tuesday, March 7, authorized the takeover with effect from March 8.”

Loading...
LATEST NEWS & JOBS SUBSCRIPTION

Be 1st to know! Join over 8000+ others receiving our latest news, job vacancies, and other cool stuff direct to their inbox.

Thank you for subscribing.

Something went wrong.

Powered by Best Social Sharing Plugin for WordPress Easy Social Shre Buttons


Like it? Share with your friends!

559
559 points

What's Your Reaction?

Lol Lol
0
Lol
Love Love
0
Love
angry angry
0
angry
Like Like
0
Like
Dislike Dislike
0
Dislike
omg omg
0
omg
Admin

0 Comments

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Please Share

Spread the word. Let your friends know!
Later
This window will automatically close in 14 seconds
Choose A Format
Personality quiz
Series of questions that intends to reveal something about the personality
Trivia quiz
Series of questions with right and wrong answers that intends to check knowledge
Poll
Voting to make decisions or determine opinions
Story
Formatted Text with Embeds and Visuals
List
The Classic Internet Listicles
Countdown
The Classic Internet Countdowns
Open List
Submit your own item and vote up for the best submission
Ranked List
Upvote or downvote to decide the best list item
Meme
Upload your own images to make custom memes
Video
Youtube, Vimeo or Vine Embeds
Audio
Soundcloud or Mixcloud Embeds
Image
Photo or GIF
Gif
GIF format
LATEST NEWS & JOBS SUBSCRIPTION

Be 1st to know! Join over 8000+ others receiving our latest news, job vacancies, and other cool stuff direct to their inbox.

Thank you for subscribing.

Something went wrong.

Powered by Best Social Sharing Plugin for WordPress Easy Social Share Buttons
LATEST NEWS & JOBS SUBSCRIPTION

Be 1st to know! Join over 8000+ others receiving our latest news, job vacancies, and other cool stuff direct to their inbox.

Thank you for subscribing.

Something went wrong.

Powered by Best Social Sharing Plugin for WordPress Easy Social Share Buttons