The Minority in Parliament has raised concerns over the proposed Telecel takeover of AT (formerly AirtelTigo), alleging that Communications and Digitalisation Minister Samuel George rejected a US$150 million investment bid from Rektron/Afritel in favor of a “less transparent and questionable” merger deal.
Speaking at a press conference in Accra on Wednesday, October 15, Ranking Member of Parliament’s Communications Committee, Matthew Nyindam, criticized the minister’s handling of the transaction, describing it as secretive, inconsistent, and marked by conflict of interest. He warned that the deal could threaten Ghana’s only wholly state-owned telecommunications company.
“The minister’s management of this transaction lacks transparency and proper direction. It is riddled with inconsistencies and self-interest, and risks handing over a critical national asset to a private foreign company without accountability,” Mr Nyindam stated.
The Minority argued that Rektron/Afritel’s proposal offered far greater value than the Telecel arrangement.
“Rektron’s proposal went beyond the initial US$150 million capital injection, outlining a long-term investment plan of up to US$1 billion to expand AT’s network, modernise infrastructure, and strengthen 4G and 5G capacity over a five-year period,” the group noted.
They added that the deal also included provisions for technology transfer, local job creation, and increased Ghanaian participation in the telecom value chain.
Despite this, the minister allegedly sidelined Rektron/Afritel and endorsed a Telecel arrangement valued at just US$50 million, a move the Minority called “illogical.”
“How does one reject a US$150 million investment proposal with a billion-dollar expansion plan for a deal that brings only US$50 million to the table?” Mr Nyindam questioned.
The Minority also accused the minister of causing financial losses to AT due to mismanagement and failure to meet key contractual obligations.
“We have established that the Minister of Communications and Digitalisation failed to honour a US$5 million payment commitment to the American Tower Company (ATC), a key service provider to AT,” Mr Nyindam said.
He explained that the non-payment led to service disruptions and significant revenue losses.
“Because of the minister’s failure to pay ATC, several tower sites were shut down in September, forcing AT customers to roam on Telecel’s network. This led to an estimated GH¢7 million loss in revenue to AT within that month alone,” he alleged.
The Minority further claimed that the minister backtracked on earlier commitments made to AT staff and management regarding partnerships and investment options.
“After announcing a deal with Rektron/Afritel and appointing KPMG as transaction advisors, the minister suddenly shifted to a merger plan with Telecel without any consultation or clear justification,” the group said.
They also questioned the removal of official posts about the merger from both the Ministry’s social media pages and Telecel’s LinkedIn account following public backlash.
“Why announce a merger publicly only to pull it down later? The secrecy and confusion surrounding this deal raise legitimate concerns about what the minister is hiding,” they stressed.
Highlighting Telecel’s record, the Minority said the company had failed to deliver on a previous US$500 million investment promise when it acquired Vodafone Ghana and is currently US$400 million in debt.
They described the proposed merger as “technically, operationally, and financially unconscionable,” warning that it could stifle competition, threaten jobs, and destroy value.
“AT is a strategic national asset that must be safeguarded. We cannot allow a deal that jeopardises 300 employees, 200 contract staff, and over 10,000 indirect jobs,” Mr Nyindam said.
