Nigeria: Etisalat, Distribution Partners to Foster Telecom Growth

Etisalat Nigeria has hosted its distribution partners at its 2013 Distribution Partners' Conference in Lagos. The annual conference is organised to give both parties an opportunity to meet and discuss the performance of the previous year and to map-out the business objectives of the current year.
Distribution partners from the different geo-political zones of the country converged at the Oriental Hotel, Lekki for a one-on-one interaction with the management and key officials of Etisalat with the aim of fostering healthy partnerships and at the same time shared their various challenges and proffered solutions that will help create a more robust business operation.

Chief Commercial Officer of Etisalat Nigeria, Mr. Wael Ammar during his opening remarks said it was always a pleasure to meet and discuss with distribution partners who have contributed immensely to the growth and success of the company. According to him, the 15 million subscriber- base mark reached in January was a combined effort with Etisalat's valued partners who helped to ensure the distribution of Etisalat products across Nigeria.

"The essence of these discussions is for our distribution partners to know and understand what is required of them so as to meet business objectives. What we do is to look at our customers' needs and how they want to interact with the brand and then we act. It is our desire that our partners approach the business likewise," he said.

Speaking also at the conference, Director, Indirect Channels and Corporate Sales, Etisalat Nigeria, Mr. Ken Ogujiofor while acknowledging the support of the distribution partners said it was imperative that the company takes out time to sit and listen to the distribution partners express their opinions and act where necessary. "We need to create a win-win situation for both parties because if our partners are not comfortable with us, the business is likely to suffer," he said.

The conference featured several presentations on the operations of the company, including the growing trend of data use in the telecommunications industry. Etisalat also used the occasion to share the categories for next year's Heroes Awards with the partners, an award event organised specially for the distribution partners to reward the best performing distribution partners who have contributed immensely to the growth and success of the business in the country.

Brazil and Africa are the basis for Chinese interest in Portugal Telecom

China Mobile is interested in expanding into the Portuguese and Brazilian market and Portugal Telecom is expected to be its preferred investment target, because of its operations in Africa and Brazil, according to market analysts.

The board of China Mobile, which is considering investing in Germany, South Africa, Brazil, Portugal and North Korea, has started the process of analysing the macroeconomic and economic climate of five countries, according to Chinese English-language newspaper the Morning Whistle.
If it goes ahead this will be the latest in a series of Chinese investments in Portugal following transactions that made large Chinese companies major players in the Portuguese energy sector (China State Grid Corp and China Three Gorges) and the financial sector (Bank of China).
Portugal Telecom has a 25 percent stake in one of the most important Brazilian mobile telecommunications companies, Oi.

In Angola, it owns 25 percent of mobile telecommunications operator Unitel, 40 percent of Multitel (Internet access and data provider) and also controls ELTA, Angola’s telephone directory company.
In Mozambique it owns directory company, Listas Telefónicas de Moçambique and Teledata (ISP and data), in Cape Verde it has a stake in CV Telecom (40 percent) and Directel (60 percent) and in São Tomé and Príncipe it has a majority stake in Companhia Santomense de Telecomunicações (51 percent).

It is also present in Namibia, Kenya and in Timor.

In an analysis issued last week, analysts from Portuguese bank BPI said that, if the investment went ahead, “Portugal Telecom would be the most likely candidate given its international presence both in Brazil and in Africa.”

As well as Portugal Telecom, another potentially interesting operator would be Zon, which is currently being merged with Sonaecom, and which has a significant stake in Cable TV in Angola and whose shareholders include Angolan billionaire Isabel dos Santos.

China Mobile is the world’s largest mobile phone operator by number of customers and, according to analysts from Trefis, Portugal Telecom, which ahs a market capitalisation of US$5 billion, is within the company’s grasp.

“Portugal is going through a big recession and with record unemployment it may not make financial sense to enter the market at this stage. However, comparatively low valuations may encourage China Mobile to put its foot in the door of a developed market,” the analysts said.
Trefis also noted that the mobile communications market in Portugal is similar to China’s, as it has three large operators: TMN (PT group), with 7.3 million customers, Vodafone Portugal, with 6.6 million, and Optimus, with 2.5 million.

In March 2012 the chairman of China Mobile, Wang Jianzhou, said that the board planned to expand the company’s business to other markets but that this had not been possible due to the high price of acquiring companies that were already set up in those markets.

Privatisation operations in Portugal, which have become necessary because of the country’s economic and financial crisis, have led to Chinese companies entering the market.

Algerie Telecom agrees to 13% salary increase

Algerie Telecom CEO Azouaou Mahmel told staff at a regional meeting in Ghardaia that the company has not invested enough in ITC and did has not done its part to promote technology across the country, Agence Ecofin reports. “We must make up for the under-investment to upgrade access infrastructure to new technologies, notably broadband, without forgetting to invest in human resources”, he said. Mahmel and unions have agreed to a 13 percent salary increase for around 26,000 workers, in line with a collective agreement signed by the parties in 2012.

The CEO said the company would set up a worker training programme to enable employees to move into positions of higher responsibility. Algerie Telecom will also renew its vehicle fleet and issue new uniforms. Mahmel added that management was studying employees’ remaining demands. Agence Ecofin reports that the operator has been hit by industrial action since the end of last year, with unions presenting a list of demands to management on 20 January. The list of 18 points included raising salaries by 13 percent, in addition to the 17 percent increase already paid, performance-related bonuses for workers on basic pay.

African telecommunication firm Liquid Telecom acquires Altech’s assets in East Africa

African telecommunication firm Liquid Telecom said on Tuesday it acquired East African telecom assets of the Altech Group, including Altech’s 61 percent stake in Kenya Data Networks (KDN).

The deal, under which Altech becomes a minority shareholder in Liquid with a stake of 8.6 percent, creates Africa’s largest single fiber network spanning Kenya, Uganda, Rwanda, Zambia, Zimbabwe, Botswana, the Democratic Republic of Congo, Lesotho and South Africa.

“KDN has built the largest fibre network in East Africa and is a company with huge potential. I strongly believe that its people, its network and its loyal customer base will all add value and opportunity to our current operations,” Liquid Telecom CEO Nic Rudnick said in a statement.

The company said the deal which was sealed on Tuesday is subject to the approval of various relevant regulatory authorities.

The telecommunications company said the network will provide reliable, high-speed, cost-effective connectivity to carriers, Internet Service Providers (ISPs), homes, financial institutions and businesses of all sizes.

According to the statement, the combination of Liquid’s and Altech East Africa’s network will create the African continent’s largest single terrestrial fiber network connecting more African countries than any other single terrestrial network.

“Liquid has been building and investing in a high-quality pan- African fiber network for many years and this deal will accelerate our progress by enlarging our network footprint and complementing our existing product portfolio. We are a strong and ambitious company and have a long-term investment plan for KDN,” Rudnick said.

Liquid Telecom has built the largest fiber network in southern Africa and Central Africa . It is the first to cross country borders and covers some of the most challenging parts of the world where no fixed network has existed before.