The African Finance Corporation (AFC), has approved a loan of $230 million for Nigeria’s fourth telecommunication service provider, 9mobile.
In a statement released on Sunday and signed by Abdulrahman Ado, its executive director for regulatory and corporate affairs, the telco said the funds will be channelled to innovative product development.
Further explaining the loan facility, 9mobile said it will be divided into two tranches and will be used to repay historic vendor obligations, finance costs and an interest reserve account and payment towards quick-win CapEx initiatives.
Nasiru Bayero, the chairman of 9mobile’s board of directors, expressed gratitude that the company’s effort at growth is being supported by a pan-African financial institution.
“We can only express gratitude to the AFC for approving this loan facility that would not only help our business sustainability but also grow it to serve our teeming and loyal customers in Nigeria better,” he said.
“We have completely reviewed our operational, regulatory, financial and technical architecture to ensure we deliver quality services and this facility would go a long way in giving best-in-class services to Nigerians
“Our turnaround efforts are well and truly underway. We had promised when we took over that we would justify the confidence in our brand by making significant investments that will improve the value Nigerians get for using 9mobile.”
The company, which was formerly trading as Etisalat, became 9mobile in November 2018 after an acquisition by Teleology Nigeria Limited.