The Telecel-Vodafone Ghana acquisition deal which recently got the green light from the National Communications Authority (NCA) is now awaiting the opinion of the Attorney-General before Telecel can actually take over Vodafone Ghana, Techgh24 has gathered.
NCA granted conditional approval to the deal after months of back and forth over claims that the deal did not meet regulatory requirement, and that Telecel did not have the financial and technical muscle to run a company the size of Vodafone Ghana.
Eventually the NCA came out and said it was satisfied with the further and better particulars Telecel resubmitted as proof of its capability to run and grow Vodafone Ghana.
Techgh24 also gathered that part of the conditions for approving the deal was for Telecel to pay 20% of Vodafone Ghana’s outstanding licensing fees which run into several millions of dollars. What Telecel is expected to pay is between $8 million to $15 million.
Telecel, according to our sources, has been ready with the funds to settle the conditional 20% being asked but the procedural delays in securing the AG’s opinion on the deal is the only hurdle left to cross before the actually takeover.
Meanwhile, Telecel was expected to have completed that part of the process as of last week so that they could take over the company, come in and meet with workers and spell out their vision to them. But all that has not happened because all the stakeholders are waiting for the AG’s opinion.
Telecel, an Africa-focused telecom company, recently got approval to purchase 70% majority stake on Ghana Telecom from Vodafone Group in an all-cash deal.
Co-owner and CEO of Telecel Group, Moh Damush has since assured Ghanaians of the company’s commitment to invest hundreds of millions of dollars to improve the network, increase the number of towers to at least 2,000, expand rural connectivity and innovate around the fintech and broadband sides of the business.
Another co-owner and Director on the Board of the company, Nicolas Bourg has also assured workers of Vodafone Ghana that there will be no job cuts under Telecel because it is simply not their style to lay off workers after an acquisition. But he is yet to meet with the workers and tell them that directly.
Indeed, Telecel has raised some $700 million from investors and banks for more acquisitions and expansions across the continent, as it prepares the company for an initial public offer (IPO) in the next five years.
