MTN Nigeria is moving to acquire key 5G spectrum assets held by Mafab Communications, nearly five years after Mafab paid $273.6m to secure a 5G licence in Nigeria.
The proposed transaction involves Mafab’s spectrum holdings in the 2.1GHz and 3.5GHz bands, according to reports citing industry sources.
The deal is subject to regulatory approval, while the financial terms of the proposed transaction have not been disclosed.
Mafab and MTN emerged as the winners of the Nigerian Communications Commission’s 3.5GHz spectrum auction in December 2021, each paying $273.6m for a 100MHz block.
MTN subsequently paid an additional $15.9m at the assignment stage for its 3500–3600MHz block, while Mafab was assigned the 3700–3800MHz block.
The auction was expected to expand competition in Nigeria’s emerging 5G market by introducing Mafab as a new network operator alongside established telecommunications companies.
However, Mafab faced delays in launching its 5G network after encountering challenges with securing some of the licences and approvals required for commercial operations.
The NCC subsequently extended Mafab’s rollout deadline before the company launched its 5G service commercially in Abuja in January 2023 and later expanded to Lagos.
Mafab had announced plans to deploy its 5G network in other major cities, including Port Harcourt, Enugu, Kano and Kaduna.
The company also cited foreign exchange pressures and the rising cost of network equipment as challenges affecting its rollout.
The proposed acquisition by MTN comes as demand for mobile data and high-speed connectivity continues to grow in Nigeria.
NCC data showed that 5G accounted for 4.74 per cent of mobile connections in July 2026, up from 3.94 per cent in January and 2.46 per cent in December 2025.
Despite the growth of 5G, 4G remained the dominant mobile broadband technology, accounting for 54.31 per cent of connections in July.
Nigeria’s active telecom subscriptions also reached 192.23 million in June 2026, while broadband penetration stood at 56.79 per cent.
For MTN Nigeria, acquiring additional spectrum could increase its network capacity as data consumption rises and more customers move towards 5G-enabled devices and services.
MTN was the first operator to launch commercial 5G services in Nigeria, while Airtel Nigeria entered the market after acquiring additional spectrum in 2023 for $316.7m.
The proposed transaction could therefore alter the distribution of 5G spectrum among Nigeria’s major telecom operators.
Industry sources have reportedly confirmed discussions around a possible transaction, although the final terms of the deal have not been announced.
Any transfer of Mafab’s spectrum assets to MTN would require approval from the relevant regulatory authorities.
The proposed deal also marks a significant development from the 2021 spectrum auction, when Mafab emerged as one of the two successful bidders and was expected to become a stronger competitor in Nigeria’s 5G market.
If approved, the transaction would give MTN access to additional spectrum capacity while providing a new direction for Mafab’s telecommunications assets nearly five years after its $273.6m investment in Nigeria’s 5G market.