The Bureau of Public Enterprises (BPE) yesterday said it has concluded arrangements for the advertisement of Expressions of Interest (EoI) for the appointment of advisers for a fresh privatisation of the Nigerian Telecommunications Plc (NITEL) and its mobile arm, MTEL.

A statement by its Head of Public Communications, Joe Anichebe said the move was sequel to the directive of the National Council on Privatisation (NCP) to the BPE to begin the process of engaging a new core investor with the requisite technical, managerial and financial resources to take over the management of NITEL/MTEL from Transnational Corporation of Nigeria (TRANSCORP), its current managers.

The Federal Government in 2006 sold 51 per cent stake to TRANSCORP Plc and retained 49 per cent. The shareholders have however, mutually consented to restructure the current shareholding and admit a core investor who will be offered a 51 per cent stake in the company.

In this regard, the 51 per cent will be contributed by both the Federal Government (22 per cent) and TRANSCORP Plc (29 per cent). This in effect will result in the dilution of TRANSCORP stake to 22 per cent while government retains 27 per cent.

To accomplish government's objectives, Anichebe said the Bureau is seeking the services of an advisory consortium that would include financial, legal, marketing, accounting, technical and valuation advisers to advise it on the privatisation process.

The consortium would be expected, among others, to review the operations of NITEL and MTEL and prepare an Information Memorandum. The consortium would also prepare valuation reports that will give an indicative base price for the enterprise as well as prepare draft contract documents and all other transaction documents required for competitive and transparent bidding process.

The consortium would also be expected to market NITEL/MTEL to prospective investors and assemble all documents that would be required in hosting data room.

Another key task of the privatisation adviser would be to evaluate the technical proposals submitted by prospective core investors and advise the NCP accordingly and prepare a comprehensive post-transaction report for the NCP.