Ncell transitions to 100% Nepali ownership, prioritizing value for local consumers

Ncell transitions to 100% Nepali ownership, prioritizing value for local consumers

KATHMANDU: Ncell is undergoing a transition to become a 100% Nepali-owned company, emphasizing its commitment to generating value for Nepali consumers and contributing to the government’s Digital Nepal vision. The focus is on aligning operations with the national aspirations.

Key developments in Ncell’s shareholding include insights from Mr. Satish Lal Acharya, the shareholder of Spectrlite UK and of Nepali origin. He noted that Axiata conducted a competitive process for the sale of its shares in Reynolds Holdings, with Spectrlite emerging as the successful bidder.

The transaction, determined through a willing buyer and seller basis, involves Axiata receiving a base payment and additional benefits in profit-sharing until 2029. The enterprise value of Ncell, realized gradually over time based on performance, is approximately ~400 million USD. This transformative deal signifies a shift towards greater Nepali ownership and management of Ncell.

Axiata has provided comprehensive details of the transaction, ensuring transparency in their press releases.

Ncell, having fulfilled its tax obligations to date, commits to adhering strictly to Nepalese laws for any applicable taxes in this deal. The company emphasizes its commitment to responsible financial practices and tax compliance, with ongoing discussions with the Nepal Telecommunications Authority (NTA) to secure necessary consents.

Amidst these changes, Ncell assures customers that the transition will not impact the quality of services provided. The company remains dedicated to delivering high-quality services to all its customers.

Fiscal Nepal |
Friday December 8, 2023, 03:28:15 PM |

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