Reliable information reaching Adom News indicates MTN is in talks with Goldkey Telecoms to exchange shares in MTN for Goldkey’s 4G spectrum in the 2600MHz band.
An impeccable source at MTN, who pleaded anonymity, confirmed to Adom News that the NCA had long given MTN and Goldkey the green light to kick-start talks towards the deal.
Meanwhile, a former top official of the National Communications Authority (NCA) had earlier told this writer in writing that MTN’s move on Goldkey “is part of MTN’s 35 per cent localization deal” following their acquisition of a 4G license in the 800MHz spectrum band in December 2015.
Goldkey is one of the three Broadband Wireless Access (BWA) license holders who paid US$6 million for the spectrum for 4G service. But the 2600MHz spectrum slot they got has since remained redundant and all the deadlines for deployment have been missed
MTN was required by law to sell 35 per cent shares to Ghanaians within 13 months of acquiring the 4G spectrum license for US$67.5 million.
It has since floated shares and reportedly sold an estimated 10 per cent in a very successful initial public offer (IPO) on the Ghana Stock Exchange.
Greater chunk of the 35 per cent shares floated remain unsold, but MTN explained to Adom News that once they have floated the 35 per cent, they have fulfilled the licensing requirement even if all the shares have not yet been bought.
But the company is also in talks with Goldkey for a possible exchange of their redundant spectrum for some of the 35 per cent shares.
Industry Analysts said, at the current market price, Goldkey’s spectrum could be worth about US$25 million, which is not enough to take up a quarter of a huge company like MTN, but they believe Goldkey can still get a handsome amount of shares in MTN.
