- Airtel Nigeria Loses
- As NCC Funnels US$ Into The Federation Account
By Clifford Agugoesi, Editor-in-Chief and Angeline Mgbele, Correspondent Abuja
After the 11th Round of biddings,with the exercise entering into the assignment stage, the Nigerian Communications CoAfter the 11th Round of biddings, with the exercise entering into the assignment stage, the Nigerian Communications Commission(NCC) has declared two of the preferred bidders, MTN Nigeria and Mafab Communications Limited as the winners of the 2 lots of 100MHz each of the 3.5GHz spectrum auctioned today. The Commission adopted the Ascending Clock system in the management of the auction process.
Airtel Nigeria dropped off before this stage thus leaving MTN Nigeria and Mafab Communications to enter the assignment stage of the exercise, with each poised to grab the premium lot by offering to pay an amount higher. Cyber Era NG learns that MTN offered to commit an extra US$15.9million while Mafab Communications offered US$11.12 million to win Lots 1 and 2, respectively. Offering to pay the the highest amount, therefore, MTN carted away the premium Lot 1. Mafab Communications got Lot 2 at no extra cost.
Announcing the winners, the Executive Vice Chairman and Chief Executive Officer(EVC/CEO) of NCC, Professor Umar Garba Danbatta said the auction was won at US$275,600,000 for each lot while MTN Nigeria offered US$15.9million to win the premium Slot 1 while Mafab Communication will not pay any extra amount beyond the US$273,600,000 for Slot2.
According to the Commission, the amount going into the Federal coffers includes the prices for the license rights, investment commitments tied to the band as well as the premium paid.
Danbatta described the process as “fair, impartial, credible and transparent” and thanked all stakeholders, especially the press , for their contributions towards the success of the auction.
In responding to the comments and recommendations from stakeholders on the availability and timing for the auctioning of the rest three slots in the 3.5GHz band, the Commission explained the three slots were encumbered and that it would take it not less than 24months to resolve this, meaning that Airtel Nigeria or other entities could still win the remaining to enable them provision 5G services.
According to the NCC EVC/CEO, the provisional winners are expected to pay the balance of the winning bid price less the 10 per cent bid deposit by February 26, 2021.
