Teleology beats deadline, pays $50m deposit for 9Mobile

Teleology Holdings beat the March 21deadline given under the bid process for the acquisition of 9mobile by paying a $50 million non-refundable deposit for Nigeria’s fourth largest network operator.

Teleology, which emerged the preferred bidder for the transaction in February, was given till March 21 to pay the non-refundable deposit, failing which Barclays Africa, the transaction adviser, would have invited the reserve bidder, Smile Telecoms Holdings, to make payment.

Having successfully paid the $50 million, Teleology is expected to pay the balance of its $500 million bid for 9mobile in the next 90 days, in order to take full possession of the mobile telecom firm.

Teleology reportedly paid the $50 million from Keystone Bank, with United Capital Trustees Ltd and United Bank for Africa (UBA) Plc as beneficiaries.

Teleology, which floored telecommunications giants like Globacom, Bharti Airtel and Dangote’s Alheri to win the bid for 9Mobile, also moved a step closer to taking over the troubled telecoms company by signing a Memorandum of Understanding (MoU) with the Central Bank of Nigeria (CBN) and 9mobile to take full possession of the firm.

Report has it that Mr. Mohammed Edewor signed the MoU on behalf of Teleology, while representatives of the Nigerian Communications Commission (NCC), the telecoms industry regulator, and the banks witnessed the signing.

The former CEO of MTN Nigeria, Mr. Adrian Wood, who led the Teleology bid for 9mobile, said his group mobilised the $50 million last week, after which the transfer was made to United Capital Trustees and UBA.

 

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