Orange Niger Considers All Available Options In the Face Of Market Difficulties
According to a document issued by the Commercial Court of Niamey, Orange Niger has started with the process for preventive settlement which will delay insolvency and will allow the restructuring of the company’s debt.
The preventive settlement would also provide the company with a suspension of enforcement by its various creditors.
Orange stated that the court had appointed an expert to look into its situation and would support all its negotiations with creditors.
The operator added that it was exploring all possible solutions, including searching for a partner that would be able to support the development of the business.
Industry analysts described the latest action as a precursor to a possible liquidation or acquisition of Orange Niger which would require a partner or buyer that would be presented to the government as soon as possible.
The analysts warned that the market difficulties that had affected the company's performance would likely make it unattractive to potential buyers.
According to the Orange Group's financial report for 2018, Orange Niger recorded that its fixed assets depreciated from the $58 million recorded in 2017 and lowered to $48 million in 2018.
In November 2018 Niger’s General Tax Directorate issued an order to shut down the operator's premises in Niamey due to an outstanding tax bill of approximately US$38-million.
The premises was reopened after Orange paid an undisclosed amount.
Credit: This article originated from www.itwebafrica.com