The Nigerian Communications Commission (NCC) and the Corporate Affairs Commission (CAC) have introduced a new regulatory framework requiring prior approval before any significant ownership changes in telecommunications companies operating in Nigeria.
The new directive is part of efforts to strengthen corporate governance, improve transparency, and enhance regulatory oversight in the country’s telecom sector.
In a joint statement issued on Sunday in Abuja, the agencies confirmed that telecom operators must now secure a Letter of No Objection from the NCC before executing any share transfer.
The statement was signed by Mrs Nnenna Ukoha, NCC Director of Public Affairs, and Mr Rasheed Mahe, CAC Head of Public Affairs.
According to the NCC, the requirement applies to any ownership transfer involving 10 per cent or more of a company’s total share capital, as well as multiple transactions that cumulatively exceed the threshold.
The commission explained that the policy is backed by the Nigerian Communications Act (NCA) 2003 and other relevant regulatory instruments governing the telecommunications industry.
It stated that the rule takes immediate effect for all NCC-licensed operators seeking changes in ownership or control structure.
Under the new arrangement, the Corporate Affairs Commission (CAC) will be required to verify that telecom companies have obtained NCC approval before registering any shareholding changes.
This coordinated oversight is designed to prevent unauthorized ownership transfers and strengthen regulatory compliance.
Mrs Ukoha said the initiative is intended to prevent anti-competitive practices and ensure a fair marketplace within Nigeria’s telecommunications industry.
She added that the framework would strengthen regulatory monitoring of ownership structures and enhance investor confidence.
“The requirement is designed to preserve a fair and competitive market structure within the communications sector,” she said.
The NCC noted that the new rule would improve transparency in corporate transactions and provide greater regulatory certainty for investors.
It further stated that the policy would support long-term stability in Nigeria’s fast-growing communications sector
Both the NCC and CAC reaffirmed their commitment to promoting a transparent, accountable, and business-friendly regulatory environment.
They emphasized that continued collaboration between both agencies would ensure the orderly and sustainable growth of Nigeria’s telecom industry.
