MTC pitches ВЈ560m offer for Vmobile

Kuwaiti telecoms operator, Mobile Telecommunications Co (MTC), said on Sunday that its African subsidiary, Celtel, has signed a conditional deal to buy 65 per cent of Nigeria’s Vmobile for just over $1bn (ВЈ560m).

MTC said in a statement on the bourse web site that the deal also includes an option for the purchase of the remaining 35 per cent of Vmobile.

Vmobile is seen as a hot property in the lucrative Nigerian market. Last year the Virgin Group was placed in talks to acquire a stake in the Nigerian operator, while South African operator Vodacom, backed by Vodafone, also appeared eager to re-enter the Nigerian market, despite pulling out of a management contract with Vmobile in 2004 following discrepancies over the agreement.

Vmobile is the third largess operator in the country with 5 million subscribers as of the end of March. The operator competes with market leader MTN, Glo Mobile and M-Tel.