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Etisalat terminates brand agreement after EMTS rebrands to 9mobile

20 Jul 2017, 05:45 pm
Financial Nigeria
Etisalat terminates brand agreement after EMTS rebrands to 9mobile

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The Abu Dhabi-based telecoms company said its branding rights and other related intellectual property rights will expire as of July 21st, 2017.


Etisalat Group has announced that it has terminated the branding rights granted to Emerging Markets Telecommunication Services Limted (EMTS) – which formerly traded as Etisalat Nigeria – after the company adopted 9mobile as its trading name.

The Abu Dhabi-based telecoms company said its branding rights and other related intellectual property rights will expire as of July 21st, 2017, according to a statement released by Abu Dhabi Securities Exchange on Thursday.

The announcement completes Etisalat’s exit from Nigeria after the UAE company failed to agree a debt restructuring deal with Nigerian banks, who had lent its erstwhile Nigerian unit $1.2 billion.

Last week, EMTS changed its trading name to 9mobile as the company sought to break away from the shadows of Etisalat and chart a new course for itself after the Central Bank of Nigeria and the Nigerian Communications Commission brokered a new deal with the Nigerian lenders.

Boye Olusanya, 9mobile CEO, told Reuters that the company is now looking to raise fresh capital and return to profitability. Olusanya also said 9mobile is open to new investors although the company plans to maintain its brand for the long-term.

“Like any business we are always available for someone with a good offer ... but we are prepared to manage this business for the long haul," Olusanya said. “This brand was not developed with the mindset that it's a three-month brand. If at any point in time someone does come in with an offer that is attractive, then that person will have the right to do whatever they want to do with the brand.”

9mobile is the fourth largest mobile operator in Nigeria, with 18.5 million subscribers and a 12.76 percent market share. MTN Nigeria has 54.92 million subscribers (37.89 percent); Globacom has 37.37 million subscribers (25.78 percent); and Airtel has 34.16 million subscribers (23.57 percent).


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