Telecom Firms In Nigeria Now Require NCC Approval For Share Transfers Of 10% Or More – Regulators

The Nigerian Communications Commission (NCC) and the Corporate Affairs Commission (CAC) have announced a new compliance requirement mandating telecommunications companies to obtain regulatory approval before effecting significant changes in their ownership structure.

In a joint statement issued on June 21, 2026, and signed by Nnena Ukoha, Director of Public Affairs at the NCC, and Rasheed Mahe, Head of Public Affairs at the CAC, the two agencies said any proposed transfer of ownership or control involving 10 per cent or more of the total share capital of a company licensed by the NCC must receive a Letter of No Objection from the communications regulator before the transaction can be registered by the CAC.

The agencies stated that the requirement takes immediate effect and also applies to multiple share transfers that, when combined, exceed 10 per cent of a licensee’s total share capital.

According to the statement, the directive is based on the provisions of 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.

The NCC and CAC explained that the legal provisions empower the communications regulator to oversee and review transactions involving licensed operators in order to promote fair competition within the sector.

Under the new arrangement, the CAC will require telecommunications companies seeking to register changes in their shareholding structure involving 10 per cent or more of their equity to provide evidence of prior approval from the NCC.

“Effective immediately, any proposed transfer of ownership or control of shares in a licensee of the Nigerian Communications Commission amounting to ten percent (10%) or more of the total share capital, as well as any series of share transfers which in aggregate exceed ten percent (10%) of the total share capital of the licensee, shall require a Letter of No Objection from NCC in order for the changes to be effected and registered with the CAC,” the statement said.

The commissions noted that the measure is aimed at preserving a fair and competitive market structure within the communications industry by preventing direct or indirect anti-competitive practices.

“The requirement is designed to preserve a fair and competitive market structure within the communications sector by preventing direct or indirect anti-competitive practices, while strengthening regulatory oversight of significant changes in ownership and control,” the agencies stated.

They added that the policy would enhance transparency, strengthen investor confidence, provide greater regulatory certainty, and safeguard the long-term sustainability and stability of the telecommunications industry.

Reaffirming their commitment to the development of the sector, the NCC and CAC said they would continue to collaborate to promote a transparent and competitive business environment in Nigeria.

“The NCC and the CAC reaffirm their shared commitment to advancing a transparent, stable, and competitive business environment in Nigeria,” the statement added.

“Both agencies will continue to work closely to promote regulatory certainty, ensure fair market practices, and support the orderly and sustainable development of Nigeria’s communications sector.”(SaharaReporters)