The Chief Executive officer of Zain Telecom,Nabal Bin Salama has said there is no need for the public to be worried over the current ownership dispute that is facing its Nigeria operations.Salama made the statement in India last week.
Salama said he is confident the dispute involving two major ‘minority’ shareholders in its Nigerian operations would be resolved soon. It should be recalled that Nigerian Billionaire and investor, Mr.Obafoluke Otudeko, whose company owned 14 per cent of Zain (through his company, Broad communications) and South Africa’s Econet wireless had publicly questioned the acquisition of the 65 per cent controlling shares of Zain by Bharti Airtel.
The aggrieved parties thereby went to court to terminate the potential acquisition because it did not follow due process.Otudeko and co also said the company should have given them the benefit of refusal of the stakes before inviting Bharti
Salam said the judgement in the case is yet to come and that they are in a good position so no one should panic.
Bharti is set to acquire 65 per cent of Zain Nigeria for a whooping sum of $10.7 billion dollar. Economic Times report that the company’s stock fell by 12 % last wee due to panic on the side of investors.
Last week Otudeko’s Broad Communications said it has won a temporary injunction at the Federal High Court restraining from managing the Nigerian unit. It also said, it is ready to enforce the injunction.
Who wins this Nigeria business battle? Lets keep our fingers crossed!