Breaking News: LH Telecommunications has acquired Emerging Markets Telecommunication Services Limited, which operates using the trade name 9Mobile.
The telecoms firm published a statement on Sunday 28 July 2024 announcing that LH Telecommunications has acquired its majority shares in a deal that was approved by Nigeria’s Federal Competition and Consumer Protection Commission (FCCPC), the Nigerian Communications Commission (NCC) and the African Export Import Bank (AFREXIM).
9AM News Nigeria gathered that this new deal will actualize the ownership and control of 95.5% of 9Mobile to LH Communications, a new investor which plans to commit more funds into the development and turnaround of the company.
New Chairmanship And Directors
A new chairman and a fresh set of board of directors have already been inaugurated by this new investors. Thomas Etuh who is the newly appointed Chairman of 9Mobile is a renowned and accomplished businessman and investor with more than 36 years of business experience in diverse sectors within Nigeria and other African nations.
Some of the newly appointed directors of 9Mobile Limited include Femi Edun, Nahim Ibraheem, Ibrahim Puri, Sen. Daisy Ehanire Danjuma, Michael Ikpoki, Gloria Danjuma and Emmanuel Etuh.
The newly inaugurated board begining work in earnest have have approved and ratified the appointment of a new management team to be led by Obafemi Banigbe. He will serve as the Managing Director and Chief Executive Officer of the newly acquired company. He will work towards reviving the near-comatose company and put it back in the path of productivity and profit.
9AM News Nigeria recounts the obvious non-encouraging situation with 9Mobile Limited with has struggled to retain and satisfy its subscribers and customers for several years now. This has resulted in a decline in the fortune of the company which once held an enviable place of pride as the Number 2 telecoms company in Nigeria after MTN Nigeria.
Once boasting of over 20 million active subscribers, the company currently has only about 10 million subscribers and continues to lose subscribers from year to year.
As of March 2024 the company has only a paltry 5% share in the telecoms market. MTN with 37% shares has the lion’s share of the market followed by Airtel with 29% and Globacom with 28% shares.
More information
This new acquisition makes it the second time that 9Mobile would be acquired since it first launched in the Nigerian market with the name ‘Etisalat’.
In 2018 the company went insolvent and was unable to repay its loans to banks, leading to its acquisition by Teleology Nigeria Limited after a long drawn bidding process monitored by the Nigerian Communications Commission and the Central Bank of Nigeria. Participants in the bidding process were 13 banks including Access bank, Gt Bank, Zenith bank and Barclays Africa.
The acquisition was finalized following an initial payment of $50 million and a subsequent payment of $250 million in settlements.
Clearances and approval of takeover were issued by the NCC and the new owners renamed the company from Etisalat to 9Mobile Limited and inaugurated and new board of directors for the company. The Chairman of the new board was Prince Nasiru Ado Bayero of the Kano Emirate.
The company has since then implemented further changes in the composition and leadership of its board over the years.
More information about LH Telecommunications the new aquirer of 9Mobile is still unknown to Ogasabi as at press time.
