A Nigerian businessman has moved to court seeking a refund of $299,000 (more than Sh36 million) from a Kenyan company linked to his countryman following a botched telecoms deal.
Benjamin Orubon Wilcox and his firm Fisk Associates Ltd want SealTowers Ltd compelled to refund the money he says was invested in 2016.
SealTowers was started in 2016 with plans to build, own, lease, and manage telecommunications towers and infrastructure for Kenyan telcos.
The firm was allegedly acquired by American private equity fund Everstrong Capital early this year.
“The plaintiffs pray for judgment against the defendants for $299,000 forthwith with interest accruing at four per cent with effect from 8th November until payment in full or in the alternative, 20 per cent shareholding in the 1st defendant, whichever is higher,” Mr Orubon says in an affidavit filed in court.
Mr Orubon says he was approached by directors of SealTowers in 2016 with investment proposals comprising equity and debt offering and promised ownership in the firm.
Mr Orubon says he invested up to $1 million in the company and the parties held a series of discussions with the directors of SealTowers.
Court documents show agreed to grant a bridge loan of up to $350,000 to enable the company to commence construction of certain base transmission towers with little or no network coverage in Kenya.
The company intended to provide infrastructure services to Airtel under a framework agreement for co-location and site sharing.
The loan agreement stated that the amount would attract a monthly flat charge of four per cent until its liquidation into an effective equity investment.
Mr Orubon says he pumped $329,000 on diverse dates between October 2016 and December 2016.
