9Mobile reports $52.50m profit in June, appoints advisers ahead of sale

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LAGOS, July 25 – 9Mobile, formerly Etisalat Nigeria, has appointed advisers to manage the process of attracting new investors in the telecoms company and has received a surge of interest, Central Bank Governor Godwin Emefiele said on Tuesday.

Naija247news earlier reported that India’s Bharti Airtel is looking to merge its Nigerian arm with 9mobile, which has just rebranded from Etisalat Nigeria following takeover as a result of financial problems, a source close to the telecom company has said.

France’s Orange mobile and United Kingdom’s Vodafone had earlier emerged as potential bidders for the Nigerian fourth mobile network. The two companies were said to be in “strong running” to buy 65 per cent of the telco.

Reports have said “no fewer than five” companies had expressed interest in Etisalat Nigeria, although only the two international telco giants – Orange and Vodafone – have shown “concrete interest”.

The Economic Times of India had reported that Bharti was looking to boost its assets in Nigeria, and this may explain its interest in 9mobile.

Presently, Nigeria is Bharti’s largest African market, where it generates around 30% of its revenues.

“The collapse of Etisalat Nigeria – and the withdrawal of Etisalat itself – is seen as a potential opportunity for consolidation (by Bharti),” the Economic Times of India claims in one of its reports.

The Bharti Airtel chairman, Sunil Mittal, had previously spoken of the potential for mergers in some of its African assets as part of a rationalisation plan, according to reports.

Emefiele, whose central bank leads the new board of 9Mobile, said the company’s revenue was stable, adding it had made 16 billion naira ($52.50 million) in June. It had not lost subscribers, he said.

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Godwin Okafor is a Financial Journalist, Internet Social Entrepreneur and Founder of Naija247news Media Limited. He has over 16 years experience in financial journalism. His experience cuts across traditional and digital media. He started his journalism career at Business Day, Nigeria and founded Naija247news Media in 2010. Godwin holds a Bachelors degree in Industrial Relations and Personnel Management from the Lagos State University, Ojo, Lagos. He is an alumni of Lagos Business School and a Fellow of the University of Pennsylvania (Wharton Seminar for Business Journalists). Over the years, he has won a number of journalism awards. Godwin is the chairman of Emmerich Resources Limited, the publisher of Naija247news.

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