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Minority Slams ‘Questionable’ Telecel–AT Deal, Alleges US$150m Investment Snub

The minority in Parliament has launched a scathing attack on the proposed Telecel takeover of AT (formerly AirtelTigo), accusing the Minister of Communications and Digitalisation of rejecting a superior US$150 million bid from Rektron/Afritel in favour of what they describe as a “less transparent and questionable” merger deal.

At a press conference in Accra on Wednesday, October 15, Ranking Member on the Communications Committee, Matthew Nyindam, alleged that the minister’s handling of the transaction has been characterised by secrecy, inconsistencies and conflict of interest, warning that the arrangement could lead to the collapse of Ghana’s only wholly state-owned telecommunications company.

“The minister’s management of this transaction lacks transparency and proper direction. It is riddled with inconsistencies and self-interest and risks handing over a critical national asset to a private foreign company without accountability,” Mr Nyindam stated.

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According to the minority, Rektron/Afritel’s proposal was far more valuable than the Telecel arrangement. Beyond an initial US$150 million capital injection, Rektron outlined a US$1 billion long-term investment plan to modernise AT’s infrastructure, expand its 4G and 5G capacity, and create local jobs over five years.

The proposal also included technology transfer and increased Ghanaian participation in the telecom value chain.

In contrast, the minister allegedly sidelined this offer and endorsed a Telecel merger valued at just US$50 million.

“How does one reject a US$150 million investment proposal with a billion-dollar expansion plan for a deal that brings only US$50 million to the table?” Nyindam quizzed.

The minority further accused the minister of fiscal negligence for failing to honour a US$5 million payment to the American Tower Company (ATC), a key AT service provider. The non-payment, they said, led to the shutdown of several tower sites in September, forcing AT customers to roam on Telecel’s network.

This, according to Nyindam, resulted in an estimated GH¢7 million revenue loss to AT in just one month.

They also alleged that the minister backtracked on earlier commitments to AT’s management and staff, abandoning the Rektron/Afritel partnership and KPMG-led transaction process without consultation or explanation.

The group questioned the mysterious deletion of official social media announcements regarding the Telecel merger shortly after public backlash.

“Why announce a merger publicly only to pull it down later? The secrecy and confusion surrounding this deal raise legitimate concerns about what the minister is hiding,” the Minority stressed.

The minority cast doubt on Telecel’s financial capacity and credibility, citing its failure to fulfil a US$500 million investment pledge following the Vodafone Ghana acquisition and its current US$400 million debt.

They described the proposed merger as “technically, operationally and financially unconscionable”, warning that it could undermine market competition, threaten jobs, and erode national value.

“AT is a strategic national asset that must be safeguarded. We cannot allow a deal that jeopardises 300 employees, 200 contract staff and over 10,000 indirect jobs,” Mr Nyindam concluded.

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