LH Telecoms Buys 95.5% of 9mobile, Names New Board and CEO

LH Telecoms Buys Majority Stake in 9mobile: LH Telecommunication Limited, a UK-based firm, has acquired a 95.5% majority stake in Emerging Markets Telecommunication Services Limited, the parent company of 9mobile. 

The acquisition, which received regulatory approvals from the Nigerian Communications Commission (NCC) and the Federal Competition and Consumer Protection Commission (FCCPC), is expected to inject fresh capital into the struggling telecom operator and enable it to compete more effectively in the highly competitive Nigerian market.

The investment, approved by the African Export-Import Bank (AFREXIM), 9mobile’s senior lender in May 2023, has resulted in a change of control in favor of the new investor. 

As part of the deal, LH Telecoms has appointed a new board of directors to oversee the company’s operations.

New Board and Management Team

Thomas Etuh, an accomplished entrepreneur with over 36 years of experience in various sectors of the African economy, has been appointed as the new Chairman of the 9mobile Board. 

Nahim Abe Ibraheem, with extensive experience in finance and oil trade, and Femi Edun, a financial services industry professional with over 35 years of experience, have also joined the board as new members.

Additionally, LH Telecoms has nominated a diverse group of individuals to the 9mobile board, including former Nigerian Senator Daisy Ehanire Danjuma, Michael Ikpoki (former CEO of MTN Ghana and MTN Nigeria), Ibrahim Puri (finance professional), Gloria Danjuma (with over 20 years of leadership experience), and Emmanuel Etuh (Executive Director at Lighthouse Capital).

The new board has also ratified the appointment of Obafemi Banigbe as the Managing Director and Chief Executive Officer of 9mobile. 

Banigbe, with over 24 years of experience in the telecommunications industry, is expected to lead the company through its transition phase and drive its recovery.

LH Telecoms Buys Majority Stake in 9mobile: Challenges and Opportunities

9mobile, formerly known as Etisalat Nigeria, has faced numerous challenges since its acquisition by Teleology Holdings in November 2018. 

The company has struggled with customer attrition, losing subscribers from its peak of 22 million in October 2016 to just over 15 million in November 2018. 

As of March 2024, 9mobile had only 11.7 million voice subscribers and 3.3 million internet users, according to the National Bureau of Statistics Telecoms Data.

However, the acquisition by LH Telecoms presents an opportunity for 9mobile to regain its footing in the market. 

With the injection of fresh capital and the appointment of a new board and management team, the company is expected to compete more effectively with industry leaders such as MTN, Airtel, and Globacom.

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Conclusion

The buying of 9mobile by LH Telecoms marks a significant turning point in the company’s history. 

The new ownership structure, along with the appointment of a new board and management team, is expected to bring stability and fresh investment to the company. 

As 9mobile embarks on its recovery journey, it will be crucial for the new leadership to address the challenges it has faced in recent years and capitalize on the opportunities presented by the Nigerian telecommunications market.

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