Amidst uncertainties on the fate of the company following its inability to repay the $1.2 billion loan it obtained from 13 Nigerian banks, Etisalat has denied reports that Mubadala Development Company, the majority shareholder of the company is exiting the business.
In a statement made available to TechCity, Etisalat said it is premature at this stage of the ongoing discussions to affirm that Mubadala’s exit is the conclusive option.
“Etisalat Nigeria considers it pertinent to state that parties to the negotiation are considering a number of options and discussions are at an advanced stage regarding the syndicated loan agreement with the banks. It will therefore be presumptive and in bad faith to begin to predict the outcome. Discussions have so far been quite collaborative and we expect to reach a final resolution [this] week, by which time we will be in the position to make a definitive announcement,” Etisalat stated..
Etisalat Nigeria confirmed that negotiations with the consortium of banks regarding the syndicated loan agreement signed in 2013 have reached an advanced stage. The company added that they are considering a number of options and are not taking anything off the table at this time.
“Etisalat remains a viable business, having recorded its best financial year in 2016. Parties are keen to ensure that the ongoing discussions and eventual outcome do not affect the day to day operations of the business whether now or after the announcement of our agreement. All parties have continually demonstrated an interest in the continued operations of Etisalat as a business as it remains the backbone of millions of small business owners; multinationals, government and indeed Nigerian subscribers in general,” said Ibrahim Dikko, VP, Regulatory & Corporate Affairs, Etisalat Nigeria.
