A consortium led by China Unicom has made a winning offer of US$2.5 billion to gain control of Nigeria's former state-owned telecommunications monopoly.
The deal puts Unicom, the mainland's No 2 cellular network operator, ahead of larger rival China Mobile in the race for strategic telecommunications joint ventures in Africa and other emerging markets.
The New Generation Telecommunications consortium, comprising Hong Kong-listed Unicom, Dubai-based Minerva Group and domestic firm GiCell Wireless, beat four other bidders to secure the right to buy a 75 per cent stake in Nigerian Telecommunications (Nitel), according to media reports yesterday from the West African country.
New Generation's offer covers all of Nitel's key components, including its subsidiary Nigerian Mobile Telecommunications (M-tel), a nationwide wireless and fixed-line network, and the carrier's share in the South Atlantic 3/West Africa Submarine Cable system.
Unicom's participation further bolsters China's economic role in Africa.
Total trade between China and Africa reached a record US$106.84 billion in 2008, while Chinese direct investment in the continent reached US$7.8 billion the same year.