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How TELEOLOGY Battles To Pay $50m Non-Refundable Fee For 9Moble

 

*Amidst doubts, Teleology battles to pay $50m non-refundable fee for 9mobile

 

IT NEWS NIGERIA:

 

Unending furor and castigation still trails the emergence of Teleology barely one week to the end of payment deadline given to it to pay the $50 million non-refundable deposit for the sale of 9mobile.

 

Information gathered from a source close to the company, said it is still making efforts to pay the fee before the deadline, which lapses on March 22. So far, Teleology seems to be unsuccessful in its quest to raise the mandatory sum. It is therefore said to be soliciting external help.

 

One of such overtures is said to have culminated in a meeting in Abuja on Monday March 12 which was hosted by the Central Bank of Nigeria (CBN) and the Nigerian Communications Commission (NCC). At the meeting, to which were summoned all Lenders Banks, it was evident that the Sales Purchase Agreement (SPA) contrary to the rules guiding the transaction has not been signed. This deliberate lapse, noted an industry watcher, is intended to unduly favour Teleology. he wondered why no effort is spared to favour Teleology.

 

It will be recalled that the rules governing the bid process stated that on the day of award (which was Feb 26th) the SPA should be signed. The SPA earlier sent to all bidders by Barclays on January 26th directed the bidders to review and send their remarks back so that it will be ready for signature on the day of the award.

 

Curiously, the SPA as of March 12th was still not signed and in the Abuja meeting of 12th of March, the creditor banks were compelled to accept the changes made by Teleology all geared at favouring it unduly.

 

Barclays Africa, the financial adviser handling the sale of 9mobile had announced Teleology Holdings as the preferred bidder for the sale of 9mobile through a letter it transmitted to the company on February 21, 2018, and gave it 21 working days to pay a non-refundable cash deposit of $50 million, before making preparations to pay the $500 million bid money it promised to pay when bidding for the company.

 

According to the source, Teleology Holdings was yet to pay the $50 million non-refundable cash deposit as at close of business yesterday and has unilaterally interpreted the 21 days timeline to mean 21 working days which gives it until Thursday next week to pay the money.

 

Industry stakeholders are however worried that no timeline was given to Teleology Holdings as to the possibility of forfeiting its position as the preferred bidder to the reserve bidder, should it fail to pay the money at the stipulated time.

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