The Nigerian Communications Commission (NCC) and the Corporate Affairs Commission (CAC) have rolled out a new set of compliance guidelines managing ownership shifts within licensed telecommunications firms in Nigeria.
Under this newly established framework, any intended transfer of ownership or share control that equals or surpasses 10 percent of a telecom licensee’s total share capital must secure explicit approval from the NCC.
This regulatory green light must be obtained before any modifications can be formally executed or registered.
A joint statement released by both regulatory bodies on Sunday noted that this new directive is firmly supported by Section 90 of the Nigerian Communications Act (NCA) 2003, Regulation 28(2) of the Competition Practices Regulations 2007, and Regulation 42 of the Licensing Regulations 2019.
According to the official notice, “effective immediately” any share capital transfer or control change in a licensed telecom company hitting the 10 percent mark, including a succession of smaller transfers that aggregate to this threshold, is required to get a Letter of No Objection from the NCC prior to filing with the CAC.
Moving forward, the CAC will strictly verify that all applications involving ownership changes at or above the 10 percent benchmark include official proof of the NCC’s prior consent and approval before finalizing the registration process.
The commissions emphasized that this intervention is aimed at maintaining a balanced and competitive market within the communications ecosystem.
By doing so, they hope to curb both direct and indirect anti-competitive behaviors while tightening regulatory supervision over major shifts in corporate control.
Furthermore, the NCC and CAC pointed out that these rules will foster transparency, elevate investor confidence, and bring greater regulatory predictability, ultimately protecting the long-term viability and health of the Nigerian telecom landscape.
Reaffirming their shared dedication to cultivating an open, stable, and competitive commercial climate, both organizations stated they will maintain close collaboration to uphold fair market dynamics and encourage the orderly development of the nation’s communications industry.
