Banks To Take Over Etisalat Over N541.8 Billion Naira Debt


Premium Times is reporting that a consortium of Banks is set to take over Etisalat Nigeria over a loan facility totalling $1.72 billion (about N541.8 billion) obtained in 2015.

The medium reported that despite the intervention of the Nigerian Communication Commission, NCC, to broker a peaceful resolution between Etisalat Nigeria and the banks, it appears the effort may not have yielded a truce.

“The consortium of some foreign and Nigerian banks, including Guaranty Trust Bank, Access Bank and Zenith Bank, have been having a running battle with the mobile telephone operator over a loan facility totalling $1.72 billion (about N541.8 billion) obtained in 2015.

“The loan, which involved a foreign-backed guaranty bond, was for Etisalat to finance a major network rehabilitation and expansion of its operational base in Nigeria”, the paper said.

The official, who requested that his name should not be revealed, since he was not authorised to speak on behalf of the consortium, said the bankruptcy option would require having receivership management appointed by the banks to oversee its operations.

Etisalat had blamed its inability to fulfil its obligation to the banks on the current economic recession in Nigeria.

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