BPE Puts NITEL’s Liabilities at N300Bn

Bureau of Public Enterprises (BPE)  has put the debt liabilities of the Nigerian Telecommunications Limited and its mobile subsidiary, the Nigerian Mobile Telecommunications Limited, at over N300bn.

Mr. Chigbo Anichebe, head of Public Communications, BPE, in a statement in Abuja yesterday said it adopted guided liquidation for the sale of NITEL because of the huge debt.

Anichebe also said that a potential core investor, Arabian Amlak for Investment Limited, that has gone to court to challenge the recent sale of NITEL to NATCOM Consortium had not participated in any transaction conducted by the privatization agency.

He said, “One corporate body by name of Arabian Amlak for Investment Limited has commenced a legal action challenging the current sale process based on its inadequate understanding of our processes.

“Arabian Amlak for Investment Limited was among the 22 companies that submitted unsolicited Expressions of Interest to acquire NITEL in August 2011.

“We have no record of Amlak’s participation in any of our previous privatization transactions. As such, neither the National Council on Privatisation nor BPE entered into negotiations with Amlak on its unsolicited offer, nor was there any letter of offer given to Amlak, as should have been the case, if it emerged as reserve bidder as being claimed.”

Arabian Amlak for Investment Limited led by General Abdullahi Mamman (Retd) had gone to court, challenging BPE for selecting NATCOM Consortium as the preferred bidder for NITEL.

The company said it was preposterous for BPE to offer NITEL and M-TEL to NATCOM Consortium for $252m when it had made an offer of $919,999,999 to the privatisation agency.