NCC and CAC Enforce New Ownership Rules for Telecoms

The Nigerian Communications Commission (NCC) and the Corporate Affairs Commission (CAC) have announced new compliance requirements for telecommunications companies operating in Nigeria. Effective immediately, these measures require telecom companies to obtain prior approval from the NCC for any significant ownership changes, specifically those involving a transfer of 10 percent or more of total share capital.

Mr. Nnenna Ukoha, the NCC Director of Public Affairs, explained that the approval process is essential for maintaining regulatory compliance under the Nigerian Communications Act (NCA) 2003. The new rules also cover multiple share transfers that exceed the 10 percent threshold.

The CAC, represented by Mr. Rashe Mahe, emphasized that these policies are designed to prevent both direct and indirect anti-competitive practices within the sector, ensuring a fair competitive market structure. The agencies reaffirmed their commitment to promoting a transparent business environment and supporting the orderly growth of Nigeria's telecommunications industry.