MTN Nigeria, a technology business, announced that it has no intention of changing its mind about leasing 2,500 of its tower sites to ATC.
In a statement released on Tuesday, MTN refuted a story by Reuter’s, claiming that IHS, the previous tower contractor, was going to provide MTN with a better bid in an attempt to win back the contract.
MTN stated it has not received an offer from IHS and does not intend to rescind its decision about the contract, despite the fact that ATC was awarded the contract following a fiercely competitive bidding process.
The company in September announced that the lease for the 2,500 sites, which was due to expire in 2024 and 2025, had been awarded to ATC after a very fair and transparent procurement process.
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Agreement with ATC is final
While describing the report as false, MTN Nigeria’s Chief Corporate Services and Sustainability Officer Tobechukwu Okigbo, in the statement, said:
“The agreement with ATC over the 2,500 sites is final, having gone through a rigorous process involving our highest governance approvals. Our preference is always for bilateral renewal, subject to competitive pricing and terms. In this instance the ATC proposal was superior.”
MTN will continue to engage constructively with IHS on further opportunities that arise, including the renewal of the next vintages of towers that come up for renewals in 2025. Other opportunities for value optimization will arise and we will undertake a similar exacting process. We are hopeful that participating parties including IHS will present a compelling proposition,” Okigbo said.
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No network disruption
Okigbo also dismissed allegations that contracting the sites to ATC would lead to network disruptions and have a negative environmental impact. According to him, such allegations are factually incorrect and misleading because tower transfers between two infrastructure companies do not necessarily lead to network disruption. He added that MTN is confident that ATC’s plans will ensure a smooth transition between towers.
“Through our partnership with ATC, we are setting the stage for a new era of connectivity in Nigeria, one that not only meets the growing demands of our customers but also aligns with our focus on expense efficiencies, commitment to sustainability, and environmental responsibility,” Okigbo said.
According to him, MTN expects ATC to adhere strictly to NCC guidelines and NESREA regulations on deploying telecom sites.
“We are deeply committed to achieving net-zero emissions and part of the differentiated value ATC provides is a commitment to operating green sites, ensuring significant reduction in carbon emissions. Contrary to the allegations of harmful environmental impact, the partnership with ATC will reduce greenhouse gases,” he added.
