Nigerian thriving telecommunications industry suffered a sever blow Monday when owners of one of its big four brands, Etisalat, indicated their intentions to pull out of the country following the debt overhang with a consortium of banks.
The debt, a $1.7 billion loan has been the subject of controversy among the Central Bank of Nigeria, the Nigeria Telecommunications Commission, which had been mediating between Etisalat Nigerian and the consortium of banks bent on taking over the company to guarantee recovery or payment of their loans
The Abu Dhabi owners announced that it has terminated its management agreement with its Nigerian arm and has given Etisalat Nigeria three weeks to phase out the brand in the country.
Chief executive of Etisalat International, Hatem Dowidar said on Monday that the there was no need for the brand in Nigeria after the collapse of the loan talks.
Nigerian regulators intervened last week to save Etisalat Nigeria from collapse after lenders were calling for the probe and total takeover of the company.
