Millicom, Senegal end legal proceedings
SENEGALBy BiztechAfrica - Oct. 12, 2012, 1:09 p.m.
The legal proceedings between Millicom International Cellular (MIC) – owners of Tigo, and the Government of Senegal have been terminated.
Millicom said in a statement today that MIC and the government of Senegal had signed a settlement to amicably end their dispute over the validity of Millicom’s license in Senegal.
This follows an agreement reached some weeks ago, in which both parties agreed that the validity of Millicom’s Senegal subsidiary’s license would be recognised. In addition, Millicom will be granted a 3G license, an alignment of its license terms with those of the other operators (meaning that Millicom will receive licenses to offer fixed line, WiMAX and cable TV services for instance), some additional spectrum and a 10-year extension of the term of its current license until 2028.
Millicom said it had agreed to pay USD103 million to the government of the Republic of Senegal for these additional license rights and spectrum.
Millicom CEO Mikael Grahne said in announcing the agreement: “We are delighted to have reached an agreement with the newly elected government of the Republic of Senegal in a way that will be beneficial to both parties involved, as well as to the people of Senegal and our Tigo customers. An amicable settlement has always been the preferred solution for Millicom.”
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