Essar, KDN agree on arrears
BUSINESSBy BiztechAfrica - Sept. 24, 2011, 4:12 p.m.
In a dispute over USD1.34 million in arrears, Indian-owned Essar has agreed to pay Kenya Data networks (KDN) USD253 000 upfront and installments of USD62 700 a month to clear the debt and until the dispute is fully resolved.
Failure to pay the first installment within 14 days will result in the agreement lapsing automatically.
The agreement was recorded in the Nairobi High Court this week.
The agreement relates to an outsourcing deal between Essar, owners of Yu Mobile, and KDN. In May, KDN threatened to cut services to Essar, affecting tens of thousands of consumers, unless the arrears were paid.
Essar moved for a court order blocking KDN from interfering with its infrastructure, saying thousands of customers would lose access to voice and data services.
The consent, adopted as a court order, read that KDN would not interfere with the 186 sites of interconnection to the telecommunications industry and would not switch off connectivity.
Operating under its Yu brand, Essar is the smallest mobile operator in Kenya. Despite rumours that the company wished to sell Yu and several changes in leadership, it says ti will continue operating in Kenya and expects to take another two years to break even.
KDN provides carrier services over its fibre-optic network. The company is involved in several major projects, including the greater East Africa project.
MORE BUSINESS NEWS
Senanu named AccessKenya deputy CEOAccessKenya Group has appointed Kris Senanu as its new Deputy Chief Executive Officer. Read More
Twinpine showcased at MWC14Nigeria’s Twinpine Mobile Advertising Network showcased its technological capacity at the MWC14. Read More
Strong growth for mobile printer marketThe global mobile/portable printer market will reach USD11.87 billion by 2018, says TechSci Research. Read More
Worldwide tablet sales up 68%Worldwide sales of tablets to end users reached 195.4 million units in 2013, a 68 per cent increase on 2012, according to Gartner. Read More
IHS secures US$490m to fund African expansionIHS Holding Ltd., Africa’s largest independent telecommunications infrastructure company by number of towers managed, has secured US$490 million of equity and debt in its latest financing round. Read More
PIVOT East partners with Tech Hubs for 2014 startup competitionThe organisers of PIVOT East, one of the most prestigious mobile startup competitions and conferences in East Africa, have announced a partnership with Tech Hubs across the region for 2014. Read More
Top ten named in Google Africa Connected contestThe ten finalists have been named in Google’s Africa Connected competition. Read More
VMware completes acquisition of AirWatchVMware, the global leader in virtualisation and cloud infrastructure, has completed its acquisition of AirWatch, the leading provider of enterprise mobile management and security solutions. Read More
Borderless 2014 Conference in Nigeria this weekThe third Annual Conference of the Borderless Alliance, dubbed Borderless 2014, will be held at the Sheraton Hotel in Ikeja, Lagos, Nigeria this week. Read More
Middle class growth driving B2C e-commerce in AfricaResearch and Markets says in a new report that growing Internet penetration, the spread of mobile technology and improvement of payment and delivery infrastructure are factors that can boost E-Commerce on the continent. Read More
FEATURED STORYMACRA demystifies spectrum management
Malawi's regulator explains the issues around spectrum allocation. Gregory Gondwe reports.
BEST READ NEWS
IN DEPTHYouthConnekt launches Mobile Apps for Human Development Challenge in Rwanda
Rwanda’s Ministry of Youth and ICT and the UNDP, in close collaboration with Motorola Solutions, will power a Mobile App Challenge that will be implemented by YouthConnekt.