Zenith Bank makes provision on 30% of its 9mobile loan

Zenith Bank, one of the financial institutions that syndicated $1.2 billion loan facility to Etisalat, now 9mobile, said it has made a provision on 30 per cent of its loan to the telecommunications company.

Chief Executive Officer of the bank, Peter Amangbo, told Reuters through a conference call yesterday: “We have taken about 30 per cent … as a provision which we believe is very prudent as the company is undergoing restructuring … to prepare for a new investor.”

Meanwhile, the Chief Executive Officer of 9mobile, Boye Olusanya, said the company would continue to make more positive contributions to the telecommunications sector and deliver better value to customers.

Olusanya said: “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.”

He said the company was going through a process of removing and replacing all materials that referred to what it was before, adding that the process would be concluded as soon as possible.