Nigeria’s largest telecoms network MTN is planning to acquire Visafone as it seeks to expand in its largest market, according to those that are aware of the deal. This is in line with MTN’s plans to boost revenue from data outside South Africa, where Vodacom Group Ltd has more subscribers.
A spokeswoman for MTN’s Nigerian unit in Lagos, Mrs. Funmilayo Onajide, in a text message sent to The Guardian said: “We will send a holding statement at the appropriate time.”
Another top official of the GSM firm, who preferred anonymity because he was not authorised to speak on the process, confirmed to The Guardian that it was true that MTN Nigeria was eyeing Visafone.
“It is true. We are talking. The deal is likely to work and we shall come out to make official statement about the deal… soonest”, he said.
Visafone, a Lagos-based communication firm, is a wireless network provider founded in 2007 by Jim Ovia, a Nigerian businessman who also created Zenith Bank Plc. The people asked not to be identified because the deal has yet to be announced. They didn’t give the value of the transaction.
Indeed, the Code Division Multiple Access (CDMA) operator, Visafone, has remained the only surviving player in the category, loosing markets to the fierce power of the GSM players, including MTN Nigeria, Globacom, Airtel and Etisalat.
