Mafab Communications is seeking to transfer its key 5G spectrum assets to MTN Nigeria, nearly five years after the company paid $273.6 million to secure a licence in Nigeria’s landmark 5G spectrum auction.
The proposed transaction covers Mafab’s 2×20 MHz holding in the 2.1 GHz band and a 100 MHz block in the 3.5 GHz band. The licence, issued in 2022 and valid until 2032, has remained largely unused for about four years.
MTN is expected to pay Mafab for the spectrum, although the value of the proposed transaction has not been disclosed.
The move comes as the Nigerian Communications Commission (NCC) intensifies its focus on dormant spectrum assets. The regulator is seeking to ensure that valuable frequencies are actively used rather than remaining idle while operators expand their networks and demand for capacity increases.
Mafab made headlines in December 2021 when it unexpectedly emerged alongside MTN as one of Nigeria’s first two 5G spectrum winners. The company outbid Airtel Networks during the auction, with both successful bidders paying the $273.6 million bid price by the February 2022 deadline.
The proposed transfer could significantly change Mafab’s position in Nigeria’s telecommunications industry, while giving MTN access to additional spectrum that could support its network expansion.
Mafab had previously announced the launch of its 5G services in Abuja and Lagos, but its commercial rollout remained limited compared with established operators. Earlier reporting also documented the company’s struggle to translate its spectrum acquisition into a broad commercial network.
The development reflects a wider regulatory concern over unused telecommunications spectrum. With frequency regarded as a scarce national resource, regulators are increasingly seeking ways to ensure that allocated spectrum contributes to network expansion and improved connectivity.
If approved by the relevant authorities, the transaction would allow MTN to take control of Mafab’s specified spectrum holdings while giving Mafab an exit from its 5G network ambitions.
