MTN Nigeria Communications PLC (MTN Nigeria) has renewed its spectrum lease agreement with Natcom Development and Investment Limited (NTEL), Techeconomy can report.
Recall that in May 2023, MTN Nigeria secured approval by the Nigerian Communications Commission (NCC) for spectrums lease transaction between the company and the NTEL at transaction value of N4.25 billion, including taxes, regulatory fees and ancillary charges.
With the approval, MTN leased NTEL’s 5MHz Frequency Division Duplex (FDD) in the 900MHz Spectrum band and 10MHz FDD in the 1800MHz Spectrum band covering 19 States.
The transaction is for a period of two years, effective 1 May 2023, at a cost of N4.25 billion.
In a notice to the Nigerian Exchange Limited and the investing public, Uto Ukpanah, the company secretary, MTN Nigeria wrote: “
The Nigerian Communications Commission (NCC) has approved the renewal of the spectrum lease agreement between MTN Nigeria and Natcom Development and Investment Limited (NTEL).
“This agreement covers the lease of NTEL’s 5MHz frequency division duplex (FDD) in the 900MHz spectrum band and 10MHz FDD in the 1800MHz spectrum band, which spans 19 states. The renewal is for another two-year period, effective 1 May 2025.
“Additionally, the NCC has approved a one-year lease expansion of the spectrums, covering the remaining 17 states and the Federal Capital Territory (FCT), effective 1 January 2025.
Commenting on the transactions, Karl Toriola, CEO of MTN Nigeria said:
“We are pleased with the renewal of the spectrum lease agreement with NTEL, which now includes coverage for all states, including the FCT. The lease enables us to enhance our 3G and 4G user experience as we improve coverage and capacity by utilising the spectrums. This positions us to capitalise on the growing demand for data and improve the delivery of services to our customers.”
