Etisalat has
repaid 42 per cent of the debt owed Nigerian banks and is not owing the
humongous $1.2 billion, as being reported in the media.
The
clarification was made by the troubled telecommunications company today.
“As at
today, we can categorically state that the outstanding loan sum to the
consortium(of banks) stands at $227m and N113bn, a total of about $574m if the
naira portion is converted to US Dollars. This in essence means almost half of
the original loan of $1.2bn, has been repaid.
“Etisalat
continued to service the loan up until February 2017, when discussions with the
banks regarding the repayment restructuring commenced,” Ibrahim Dikko,
vice-president, Regulatory & Corporate Affairs of Etisalat Nigeria said.
The company
also denied it was under any investigation by the anti-graft agency, the
Economic and Financial Crimes Commission.
The denial
was spurred by reports Tuesday that some of the banks have asked the EFCC to
probe the use of the loan by the company as they claimed they could not see
proof that the money was used by the company.
Etisalat
fired back to debunk the story.
“The
attention of Etisalat Nigeria has been drawn to media reports that the
management of Etisalat Nigeria is being investigated by the Economic and
Financial Crimes Commission (EFCC), following a petition to “the Federal
Government asking that Etisalat be investigated” on how the funds from the
syndicated loans were utilized.
“Etisalat
wishes to categorically affirm for the avoidance of doubt that
the reports
are patently false and most unfortunate considering the damage such misleading
information can have not only on our business, but indeed on the
telecommunications industry and the country as a whole. A simple interrogation
of the rigorous process for securing a syndicated loan from a consortium of
reputable banks would have exposed the truth to the original writer of this
story and other media channels who have subsequently re-circulated the
falsehood without interrogation or verification.
“Concerned
parties have access to our books and do not require an
investigation
into how the loan sum was utilised. All of the
infrastructure
investment and services for which the loan was secured,
were paid
through our banks and these are verifiable”.
Etisalat
said it obtained the $1.2bn loan, a medium-term
seven-year
facility to expand its network and improve the quality of service on its
network.
The company
said the economic downturn of 2015 and sharp devaluation of the naira negatively
impacted on the dollar-denominated loan by driving up the loan value, thus
prompting Etisalat to request a loan restructuring from the consortium of
banks.
Etisalat
said it had consistently and conscientiously met up with its payment
obligations, before the twin crisis of 2015.
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