The sale of Nigeria’s state-owned Nigerian Telecommunications (Nitel) and its mobile arm, Mobile Telecommunications Mtel), is once again bogged down in confusion following allegations that the government sold the company below the value offered by another willing buyer.

The NATCOM consortium, headed by a Nigerian, last week emerged as winner of the bidding for the company, on an offer of $252.25 million.

However, fresh controversy has emerged, with Arabian Amlak For Investment taking the matter to court. Arabian Amlak is challenging the government’s so-called guided liquidation process, via which Nitel is being acquired for far less than the $920 million the company says it offered. In the guided liquidation process, the government is selling the company on the assurance that the buyer will continue to operate the company, rather than buying it and potentially selling off pieces.

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