Over the week, Teleology Holdings Limited pulled out of Teleology Nigeria Limited, the acquirer of 9mobile just under three months after paying $301 million in total for the company.
As it would turn out, Teleology Nigeria Limited is a consortium of several local and foreign investors. And Teleology Holdings owned a minority stake in the consortium which invariably means it owned a minority stake in 9mobile before pulling out.
Regulatory and Corporate Affairs’ Director at 9mobile, Oluseyi Osunsedo revealed this in a press release. It’s further revealed that every partner in the consortium was delivering and meeting their obligations to the partnership whereas Teleology Holdings failed severally and wholly to meet theirs.
Apparently, the company also didn’t present itself during critical presentations by the consortium while bidding was going on. And it also failed in its financing arrangements.
The management of 9mobile further faulted the claims by Teleology Holdings’ Director, Adrian Wood.
The telco has been reviving and enhancing relationships with key vendors among other things since acquisition but neither Wood nor Teleology Holdings rendered any assistance in any of the processes.
Osunsedo affirmed that the acquisition was successful because other partners in the consortium filled the gap to ensure that the sale was completed. The revelation that the new owner of 9mobile is a consortium and that Teleology Holdings Limited is a minority stakeholder is definitely a relief.
Nigerian startups raised $55.4m in Q1 2020; over 99% of which came from foreign sources. Find out more when you download the full report.
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