MTN and MAFAB win licenses for NCC 5G spectrum auction
The Mobile Phone Network (MTN) and MAFAB Communications Limited both secured slots for the fifth generation (5G) 3.5 gigahertz (Ghz) technology spectrum as they became the winners of the Nigerian Communications Commission (NCC) auction.
The auction was organized on Monday, November 13 in Abuja, by NCC, in collaboration with the Ministry of Communications and Digital Economy.
The 5G technology spectrum auction ended with the total sum of $ 273.6 million per lot of 100 MHz TDD with the 2 stage auction which entered the main stage and the d stage. attribution.
At the award stage, two 100 MHz TDD slots available in the 3.5 GHz band were intended to support the provision of broadband services for the 5G deployment in Nigeria.
The bidders which were Mobile Telephone Network (MTN), Airtel Nigeria and MAFAB Communications completed at the main stage, falling to two bidders.
This disclosure is contained in a press release issued by NCC and signed by its director of public affairs, Ikechukwu Adinde, and can be viewed on its website.
The NCC was auctioning two slots in the 3.5 gigahertz (Ghz) 5G spectrum.
The first round of the auction, which took off with all three bidders, started with the spectrum price of $ 197.4 million to $ 199,374 million until it ended in round 10 to 263. $ 017,050.77 million.
What the CNC executive chairman says
NCC Executive Chairman Professor Umar Danbatta, who announced the results, claimed that the commission followed the regular bidding process with the winners expected to pay on February 24, 2022, with the exchange rate in force from the Central Bank of Nigeria (CBN).
He recalled that international allocations were approved for the 5G trial in Nigeria in November 2019.
Danbatta said: “The auction was successfully held today, Monday, December 13, 2021, at the Transcorp Hilton hotel, Abuja, with all three bidders competing for the two available slots. The Commission adopted the ascending dial auction format which ended after the 11th round and proceeded to the award stage. I am pleased to announce that at the end of the auction Mafab Communications Limited and MTN Communications Nigeria Limited were the winners of the provisional license.
“As a result of the above, the winning bid price for the auction is $ 273,600,000 for each lot of 100 MHz TDD. ”
He congratulated the winners and thanked the government for its support and commitment to the deployment of 5G technology in Nigeria.
He said it will bring lasting improvements to the network, higher connection speed, mobility and capacity as well as low latency of communication services in Nigeria.
He said, “The winners of the provisional license are expected to pay the price of the winning bid less the bidding intent deposit, by February 24, 2022. We are pleased to report that the auction process was efficient, fair, well organized and transparent and was designed to deliver the ideal result.
“As a result, the strongest bidders came out provisional winners, raising a substantial amount for the federal government. Today’s auction represents the culmination of all efforts at the international and national levels that have prepared Nigeria for this momentous leap forward.
“The auction is based on the powers conferred on the Commission by Section 121 of the Nigeria Communications Act 2003 as well as the Licensing Regulations 2019.”
In case you missed it
Recall that earlier in December, the NCC announced the approval of MTN Nigeria Communications Plc, Airtel Networks Ltd and Mafab Communications Ltd., as qualified bidders of the upcoming 3.5 gigahertz (Ghz) spectrum auction. .
The selected bidders have met the criteria for participation in the 3.5 GHz spectrum licensing process, including payment of the Intent to Bid (IBD) deposit stipulated in the Information Memorandum (IM).
In addition, a fictitious auction was held on December 10.