Mafab Communications is seeking regulatory approval to transfer its key spectrum holdings to MTN Nigeria, a deal that could end its role as one of the country’s original 5G operators and form part of a wider clean-up of underutilised spectrum by the Nigerian Communications Commission (NCC).
The proposed transaction covers Mafab’s 2×20 MHz holding in the 2.1 GHz band and its 100 MHz block in the 3.5 GHz band. The 3.5 GHz spectrum was acquired in Nigeria’s first 5G auction in late 2021, when Mafab and MTN each paid $273.6 million for 100 MHz blocks. MTN later paid an additional $15.9 million for its preferred assignment, while Mafab received the 3700–3800 MHz range.
Nearly five years on, Mafab has struggled to commercialise the spectrum at scale. The company made soft-launch announcements and set rollout targets, but the licence has seen limited practical use compared with the networks built by larger operators
People familiar with the matter describe the Mafab-MTN discussions as part of a larger NCC effort to ensure scarce spectrum is actively used rather than left idle. One source told reporters the process amounts to “a bigger clean-up than Mafab,” aimed at putting valuable frequencies in the hands of operators that can deploy them.
Any transfer requires NCC approval. MTN, Mafab and the regulator have not publicly confirmed the details. If cleared, the move would give MTN additional capacity in both mid-band and capacity-critical spectrum at a time when data demand continues to rise and the operator already holds the largest share of Nigeria’s mobile market.
The outcome will be watched closely by other operators and investors. Concentrating more spectrum with an established player could improve network performance for subscribers, but it also raises questions about competitive balance in a market where spectrum remains a scarce and expensive resource. For Mafab, the potential exit from active 5G operations marks a sharp reversal from its high-profile entry as a surprise auction winner in 2021.
