By JESSICA DOGO

The Nigerian Communications Commission (NCC) and Corporate Affairs Commission (CAC) have introduced a new compliance requirement.

The directive mandates prior approval for significant ownership changes in telecommunications companies operating in Nigeria.

The agencies announced the measure in a joint statement issued on Sunday in Abuja.

The statement was signed by Mrs Nnenna Ukoha, NCC Director of Public Affairs, and Mr Rasheed Mahe, CAC Head of Public Affairs.

Ukoha said telecom companies must obtain a Letter of No Objection from NCC before transferring shares.

She explained that the approval applies to transfers amounting to 10 per cent of total share capital.

The requirement is based on the Nigerian Communications Act (NCA) 2003 and other relevant regulations.

According to her, the rule takes immediate effect for NCC-licensed companies proposing ownership or control changes.

The measure also covers multiple share transfers that collectively exceed the 10 per cent threshold.

Ukoha said CAC would ensure shareholding change requests have evidence of NCC approval before registration.

She noted that the policy would prevent direct or indirect anti-competitive practices in the sector.

“The requirement is designed to preserve a fair and competitive market structure within the communications sector,” she said.

The NCC official added that the move would strengthen oversight of ownership and control changes.

She said the policy would improve transparency, investor confidence and regulatory certainty in the industry.

According to her, the initiative would safeguard the long-term stability of Nigeria’s communications sector.

Ukoha reaffirmed the commitment of NCC and CAC to a transparent business environment.

She said both agencies would continue working together to promote fair market practices.

The collaboration, she added, would support the orderly and sustainable growth of the communications industry. (NAN)

Update news