ATC Nigeria yesterday confirmed that Smile Communications Nigeria is not indebted to it. And to affirm its position, It has withdrawn its earlier Disconnection Notice issued to the 4GLTE service provider.
Reacting to the pre-disconnection notice published by the Nigerian Communications Commission (NCC) concerning Smile Communications Nigeria, ATC Nigeria confirmed payment of all legacy cash due it by Smile Communications.
ATC Nigeria had in a letter dated December 18 to the NCC, withdrew the notice of disconnection. According to a very reliable source close to both organisations, ATC’s request to NCC was premised on the payment of all outstanding cash to ATC by Smile.
Sources confirmed that whatever was outstanding related to exchange rate differentials was very minimal and the late payment fees which is being contested. Both organisations are currently exploring new tower agreement that will be naira denominated and would be mutually beneficial to support Smile Communications long term rollout plan.
It should be noted that the legacy debts from most operators to tower vendors mostly arouse as a result of the devaluation of the naira by over 40 per cent in 2016 which brought about a significant increase in tower lease rental.Tower agreements were denominated in dollars. Transiting to naira denominated contract will ensure sustainability of telecoms’ business and facilitate expansion of broadband services across the country to fuel economic development and social engagement.
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