Einstein Esegbue
Member
For some years now, the Nation's first telecommunications carrier, NITEL/MTEL has been moribund. Several privatization drives have failed. However, the Beaureau of Public Enterprises is about to liquidate the company.
Five companies have expressed interest to recieve the assets and liabilities of NITEL/MTEL. The BPE is thus currently evaluating Expressions of Interests (EOI).
Guided liquidation was adopted because the liabilities of the national telecom carrier far outweigh the value of its assets. Under the option, creditors may not get the total value of NITEL’s indebtedness as the assets are to be negotiated with the buyers. The total proceed will then be shared by the creditors.
Those companies that meet the requirements of the privatization agency would be asked to submit a request for Proposal (RFP). The RFP that emerges at the final selection will be appointed as the transaction adviser for the exercise.
Link to read more: http://www.businessdayonline.com/NG/index.php/news/76-hot-topic/53081-bpe-considers-five-firms-for-nitel-liquidation
Five companies have expressed interest to recieve the assets and liabilities of NITEL/MTEL. The BPE is thus currently evaluating Expressions of Interests (EOI).
Guided liquidation was adopted because the liabilities of the national telecom carrier far outweigh the value of its assets. Under the option, creditors may not get the total value of NITEL’s indebtedness as the assets are to be negotiated with the buyers. The total proceed will then be shared by the creditors.
Those companies that meet the requirements of the privatization agency would be asked to submit a request for Proposal (RFP). The RFP that emerges at the final selection will be appointed as the transaction adviser for the exercise.
Link to read more: http://www.businessdayonline.com/NG/index.php/news/76-hot-topic/53081-bpe-considers-five-firms-for-nitel-liquidation
