Vodacom has confirmed its intention to form a consortium with the Virgin Group, in order to pool their organisations` experience in mobile telephony and undertake a joint bid for a controlling stake in Nigeria`s VMobile.
VMobile (formerly Econet Wireless Nigeria) was the subject of an attempted buyout by Vodacom SA last year, until shareholder Econet Wireless International claimed preferential rights to the shares Vodacom tried to purchase, sending the matter to an arbitration panel that still has to rule on the matter.
According to a statement released by the members of the new consortium: "By combining Vodacom`s expertise in African telecommunications markets with the Virgin Group`s skills in successfully operating in highly competitive markets, we will have an attractive proposition for VMobile."
The statement also says the proposition "will appeal to shareholders, staff and customers of VMobile, and will ensure the Nigerian operation becomes a far stronger company".
No mention is made of the fact that an injunction issued by the Nigerian Federal High Court in January still prevents the company from selling or transferring shares from a third-party until such time as the arbitration issue is resolved.
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