A new chapter has opened in the long-standing ownership battle over 9Mobile, Nigeria’s fourth-largest telecom operator. On March 24, 2025, the Federal High Court in Abuja resumed hearings in a case that now involves Keystone Bank, which seeks to join the legal dispute over the control of Emerging Markets Telecommunication Services (EMTS), the parent company of 9Mobile.
The legal battle initially began when Abubakar Isa Funtua, a businessman and shareholder, filed a suit against Seltrix Limited and other key parties, alleging that 43 million shares of EMTS held in trust by Seltrix were wrongfully transferred to Teleology Nigeria Ltd. without his consent.
Keystone Bank Files to Join the Dispute
Keystone Bank’s request to be added as a party in the suit has added a new dimension to the case. The bank claims that its financial interests are directly affected by a board resolution passed on December 7, 2023, which increased EMTS’s share capital from ₦90 million to ₦2 billion. According to the bank, this move drastically reduced the plaintiff’s ownership from 30% to 4.5%, allegedly in breach of a facility agreement between the bank and EMTS.
In its counterclaim, Keystone is asking the court to:
- Declare the 2023 share resolution null and void,
- Confirm that Seltrix Limited holds no shares in EMTS,
- Prevent any further changes in shareholding structure without its consent.
The bank insists that its prior legal agreements were violated and that the changes took place despite a pending court injunction.
The Core of the Dispute: 43 Million Shares
At the center of the case lies the 43 million shares originally registered to Seltrix Limited but allegedly held in trust for Abubakar Funtua. Funtua contends that Seltrix had no authority to transfer those shares to Teleology Nigeria Ltd. He argues that the Corporate Affairs Commission (CAC) should not have registered the new share structure and wants the court to declare the entire transaction illegal under the Companies and Allied Matters Act (CAMA) 2020.
He also seeks ₦100 billion in damages and a full restoration of his shareholding rights.
Who’s Involved?
The case lists several high-profile defendants, including:
- General Theophilus Danjuma (Retd.), a prominent Nigerian businessman and political figure,
- LH Telecommunication Ltd.,
- Seltrix Limited,
- The Corporate Affairs Commission (CAC),
- The Nigerian Communications Commission (NCC),
- Teleology Nigeria Ltd.,
- Mohammed Edewor and Hayatu Hassan Hadeija.
Funtua is pushing for a court order to restrain all the defendants from making further changes to the ownership structure of EMTS until the matter is fully resolved.
Implications for Nigeria’s Telecom Industry
This legal battle has raised broader questions about governance, transparency and regulatory compliance within Nigeria’s telecom sector. The court’s final ruling could set new legal precedents for shareholder protection and corporate restructuring in highly regulated industries.
The case also puts pressure on regulatory bodies like the CAC and NCC to demonstrate clearer oversight when handling ownership transfers in telecom firms.
What’s Next?
The court has adjourned to hear Keystone Bank’s motion to join the suit on March 27, 2025. Industry watchers are paying close attention to the outcome, as the judgement could have far-reaching effects not only on 9Mobile’s ownership but also on the balance between shareholder rights and corporate restructuring in Nigeria.
As this courtroom drama unfolds, 9Mobile’s future hangs in the balance. At stake is not just control of a telecom giant, but a test of Nigeria’s corporate governance and legal safeguards in an era of rapid mergers, acquisitions and economic restructuring.
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