Nigerian banks agree to extend 9mobile’s loan till it finds new investors

Must Read

TAJBank Launches Nigeria’s 2nd Non-Interest Financial Institution (Photos)

Abuja Nigeria   December 2nd 2019, TAJBank, Nigeria’s second Non –Interest financial institution, has announced the launch of its services...

Buhari Appoints CBN Deputy Gov, Edward Adamu, As AMCON Chairman

President Muhammadu Buhari has appointed Mr Edward Adamu as Chairman of the Asset Management Corporation of Nigeria (AMCON). The appointment...

List of Guaranty Trust Bank Sort Codes & Branches (with addresses) in Nigeria

The sort code is a number which usually identifies both the bank and the branch where an account is...
- Advertisement -
- Advertisement -

A consortium of Nigerian banks has agreed to extend 9mobile’s $1.2 billion loan, till the telecoms operator find new investors, according to FCMB bank.

FCMB on Tuesday, said the lenders have postponed taking provisions on the debt. “In terms of provisioning, there is hold on that. What we have agreed is an extension and we have agreed to extend pending the sale to new investors,” the bank said.

The lenders have been trying to work out the value of 9mobile before making a decision on whether to impair the loan or wait until the company finds new investors. Etisalat Nigeria acquired a $1.2 billion loan four years ago from 13 local banks to refinance existing debt and grow its mobile network but the company had struggled to repay the loan due to a currency crisis and a recession in the country. The banks include, Zenith Bank, GT Bank, First Bank, UBA, Fidelity Bank, Access Bank, Ecobank, FCMB, Stanbic IBTC Bank and Union Bank.

Read:  Farmers Advise FG to think carefully Before Banning Tomato Paste Importation

Nigerian regulators last month, stepped in to save the telecoms group from collapse and prevent the lenders from placing the company under receivership. This had resulted in a board, management and name change.

Read:  Access Bank Vows To Back Movie Producers & Other Creative Sectors

The chief executive of 9mobile, Boye Olusanya (photo), recently told Reuters that he is making efforts to get the company back on track to make profit. He also asked regulators for concessions on spectrum and access to foreign exchange to help boost revenues.

9mobile has appointed Citigroup and Standard Bank to find an investor to buy into the firm.

(EcofinAgency)

- Advertisement -

Subscribe to BrandSpur Ng

Subscribe for latest updates. Signup to best of brands and business news, informed analysis and opinions among others that can propel you, your business or brand to greater heights.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

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

Latest News

LaLiga partners with Sceenic, the game-changers of video consumption and fan engagement

Considered the most popular football league in the world, with more than 3.3 billion mobile internet users worldwide, LaLiga...

MUSON Appreciates MTN Foundation, others with Donors Concert

The Musical Society of Nigeria (MUSON) hosted donors to an appreciation concert as part of its end of year activities. The event, which held...

Waterfront Suites wins ‘Best Seaview Serviced Apartment’ at the Squarefoot Best of the Best Awards 2019

HONG KONG, CHINA - Media OutReach - 11 December 2019 - Waterfront Suites is proud to announce that it has been awarded "Best Seaview Serviced Apartment"...

Infor Named a Leader in Gartner 2019 Magic Quadrant for Enterprise Asset Management Software

Infor CloudSuite EAM continues to help organizations transform asset performance and maintenance productivity NEW YORK, US - Media OutReach - 11 December 2019 - Infor, a global leader in...

More Articles Like This