Information gathered by Citi Business News indicates that telecom company, Expresso has still not been able to secure an investor to stabilize its operations.
The company which is currently struggling announced earlier this year that it will seek investors to help it come back into full operation.
Some Players within the telecom industry have however warned that the company risks folding up if it fails to find an investor soon.
According to observers in the industry, Expresso’s lack of change in technology from Code Division Multiple Access (CDMA) to Global System for Mobile communication (GSM) is a major contributing factor to the difficulties in securing an investor.
The development has also reduced Expresso’s market share to just about 0.36% as at the first quarter of this year.
Meanwhile, The National Communications Authority (NCA) has hinted to Citi Business News it will be meeting with the management of Expresso to review the company’s operations due to its growing financial and operational challenges.
With the introduction of 4G into Ghana’s telecom industry, Expresso, must get a strategic investor to move the capacity of the company to full operation.
The woes of Expresso have in the past affected its operation with some of its competitors– MTN and Airtel.
The two companies had been compelled to block calls from Expresso over unpaid debts under the Interconnect Clearing House(ICH).
In what appeared to be an unending feud, the industry regulator, the National Communications Authority (NCA) recommended that subscribers of Expresso port to other networks.
Association with Sudatel
Expresso’s challenges have largely been attributed to its affiliation with Sudatel from Sudan which has made difficult for Expresso to raise capital locally and internationally due to sanctions placed by the UN on Sudan.
Also, moves by Sudatel to sell its shares in Expresso in 2013/2014, granted former National Security Coordinator, Colonel Larry Gbevlo-Lartey (Retired) the power of attorney to run the telecommunications company.
By: Lawrence Segbefia/citibusinessnews.com/Ghana