Ben Uzor
Competition in West Africa's telecommunications market is
expected to intensify following plans by Globacom, Nigeria's national carrier
to acquire Ivorian mobile operator Comium Cote d’Ivoire, informed sources have
said. Globacom, owned by business magnate Mike Adenuga, is embarking on a
regional expansion push, as the telecoms company looks to wrest control off
closest rivals South African based duo MTN, Vodacom, and India's Bharti Airtel.
According to Telegeography, Globacom, is lodging a $600 million takeover bid
for Comium Cote d’Ivoire, a company heavily entangled in massive debt and cash
flow issues. If the multi-million dollar acquisition deal, which is already
within radar, does go through, Globacom would have succeeded in shoring up its
cross-border terrestrial network, which currently connects 14 West African
countries. The deal, when completed, would further accelerate the growth of
internet and mobile data service across the sub-region.
The deal however would put Globacom in pole position to
provide advanced communications services to global companies and multinationals
looking to deepen their presence across the West African sub-region. The
company invested $600 million in 9, 800 kilometre submarine communications
cable, which along the west coast of Africa between Nigeria and the United
Kingdom. Globacom, second national operator, which already owns an
international carrier services licence in Cote d’Ivoire, reportedly plans to
invest over $1 billion in upgrading Comium-CI’s network over three years.
Comium CI has more than 900,000 mobile subscribers according to L’Autorite de
Regulation des Telecommunications. It is a subsidiary of Comium Group, a
Lebanon-based telecommunications company owned by Lebanese businessman Nizar
Dalloul.
The group operates as a multi-service provider on four
continents, specialising in wireless data networks Wireless, GSM
communications, Internet service provision and VoIP (Voice over Internet
Protocol). Comium CI is heavily enmeshed in debt to the tune of more than $25
million and has been given until 15 May to pay off its debts or risk being
placed into receivership. Mike Adenuga, 63, is the 2nd richest man in Nigeria
with a fortune currently estimated by FORBES at $4.2 billion. He owes his
fortune to his ownership of telecoms outfit Globacom, and Conoil Producing, a
Nigerian oil exploration firm that operates 6 oil blocks in the Niger Delta.
In August 2003, Glo Mobile was launched in Nigeria. Glo
Mobile introduced lower tariffs, pay per second billing and alongside other
value added services. Although Glo Mobile was the fourth GSM operator to launch
in Nigeria, within seven years of the company's operation, its subscriber base
grew to over 25 million. In June 2008, Glo Mobile was launched in the Republic
of Benin. Glo Mobile showed unprecedented growth through the sale of 600,000
SIM cards in the first ten days of operation. Glo Mobile offered Per Second
Billing, which charges subscribers for the exact airtime used. They are
currently offering value added services such as MMS (Multimedia Messaging
Service), Glo Magic Plus news and information, vehicle tracking, musical
ring-back tones and mobile banking. In May 2008, Glo acquired an operating
license through its Glo Mobile division in Ghana, West Africa's economic power
house.
In October 2009, Glo acquired submarine cable landing
rights and International Gateway Services in Côte d'Ivoire. Spokespersons for
Globacom and Comium were unavailable to comment on the deal. From inception,
Globacom has led the industry in the rollout of consumer-focused innovative
products and services, making it possible for the operator to record many
firsts in the telecoms industry. Globacom has also contributed to the economic
growth of sub-Saharan Africa by providing gainful employment for thousands of
people and by its active support and promotion of such sectors as entertainment
and sports in all the countries it operates in. It has also provided a solution
to the internet bandwidth problem in West Africa through its multi-million
dollar international submarine cable, Glo 1. The company currently retains, as
brand ambassadors, the largest number of key players in the entertainment and
sport sectors than any other company in the sub region.
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