Chairman of First Bank of Nigeria Plc, Mr. Oba Otudeko, and his firm, Broad Communications Limited, instituted an action against the directors of Zain Nigeria before a Federal High Court in Lagos.
Otudeko, Folake Otudeko and Broad Communications challenged the propriety of the directors’ decision to lease a $27m property in Banana Island , Ikoyi, Lagos for use as its headquarters.
In the suit before Justice Okechukwu Okeke, the plaintiffs claimed that the leasehold is extremely over-valued at $27m for a five-year tenure, adding that the development was not in the interest of the telecoms firm and other shareholders.
In light of today’s announcement, this dispute between Zain and Broad Communications has been resolved out of court.
Sunil Bharti Mittal said “In line with Bharti’s philosophy of forging long term, strategic partnerships we are pleased to have joined hands with our local partner in Nigeria, Mr. Oba Otudeko and his family. I have no doubt that this partnership will ensure leadership for Bharti in Nigeria for the benefit of all stakeholders.” Mr. Oba Otudeko said “We welcome Bharti Airtel as our new partner. I am aware of the leadership that Airtel has established in the telecom space and I am keenly looking for them to bring their expertise in the mobile telephony for the benefit of Nigeria and it’s people.”
