By our Correspondent
The Nigerian Communications Commission (NCC) and the Corporate Affairs Commission (CAC) have mandated prior regulatory approval for any transfer of ownership or control involving 10 per cent or more of the shares of licensed telecommunications companies in Nigeria.
This was contained in a statement jointly signed and issued to newsmen on Sunday by Nnena Ukoha, Director of Public Affairs at the NCC, and Rasheed Mahe, Head of Public Affairs at the CAC.
The agencies said the directive was in line with Section 90 of the Nigerian Communications Act 2003, Regulation 28(2) of the Competition Practices Regulations 2007, and Regulation 42 of the Licensing Regulations 2019.
According to the statement, the provisions collectively empower the NCC to oversee and review transactions affecting licensees and promote fair competition within the communications sector.
The NCC and CAC emphasized that the enforcement to the investors takes immediate effect across the industry.
They explained that any proposed transfer of ownership or control of shares by any NCC licensee amounting to 10 per cent or more of the total share capital must obtain a Letter of No Objection from the NCC.
The statement added that the requirement also applies to a series of share transfers which, when aggregated, exceed 10 per cent of the total share capital of the licensee.
It noted that such approval must be secured before the changes can be effected and registered with the CAC.
Under the new arrangement, the CAC will ensure that all requests for changes in shareholding structures amounting to 10 per cent or more, submitted by telecommunications companies for registration, are supported by evidence of the NCC’s prior consent and approval.
The agencies said the measure was designed to preserve a fair and competitive market structure within the communications sector.
They explained that the policy would help prevent direct or indirect anti-competitive practices while strengthening regulatory oversight of significant changes in ownership and control.
According to the statement, the requirement will also promote transparency, investor confidence and regulatory certainty across the industry.
The agencies added that the measure would safeguard the long-term sustainability and stability of Nigeria’s communications sector.
The NCC and CAC reaffirmed their shared commitment to advancing a transparent, stable and competitive business environment in the country.
They pledged to continue working closely to promote regulatory certainty, ensure fair market practices and support the orderly and sustainable development of Nigeria’s communications sector. (GSF)
