MTN Nigeria Leases Spectrum from NTEL, Renews 2100MHz Spectrum Licence

MTN Nigeria Communications Plc, trading as MTN Nigeria, has announced it has secured regulatory approval from telecommunications regulator, the Nigerian Communications Commission(NCC) to carry out a spectrum lease transaction between it and Natcom Development and Investment Limited(NTEL) for the lease of the latter’s 5MHz Frequency Division Duplex(FDD) in the 900MHz spectrum band and 10MHzFDD in the 1800MHz spectrum band covering 19 states. These spectra will serve to boost 4G services provisioning in the states covered.

The notice of the deal, which is available on the telco’s website, was signed by Company Secretary Uto Ukpana, who is a fellow of the Chartered Institute of Secretaries.

Lagosbusinessnews gathered that the deal is for a period of two years, effective May 1, 2023, at a cost of N4.25billion(US$9.23million), including taxes, regulatory fees and ancillary charges.

It was also gathered that MTN Nigeria also accepted the regulator’s offer to renew its 2100MHz spectrum for a period of 15 years, effective May 1, 2022 to April 30, 2037 and has paid N58.66billion to the Commission.

The 2100MHz spectrum licence enables provision of 3G mobile services on the MTN network.

Commenting on the transaction, MTN Nigeria CEO, Karl Toriola said: “This is a significant milestone in delivering our Ambition 2025strategy. The access to NITEL’s 900MHz and 1800MHz spectrums broadens our spectrum holdings and improves our 3G and 4G user experience as coverage and capacity will be enhanced by utilizing these spectrums.”