Vodafone Uganda, which is owned by Afrimax Group, has applied for bankruptcy protection at the country's High Court, New Vision reported. In a notice of issue of an interim protection order, the Civil Division of the High court has appointed Donald Nyakairu as Vodafone's provisional administrator.
Nyakairu, according to the order notice, is required to oversee all affairs of the company. Vodafone is a service provider of voice and data services, limited to the greater Kampala area. Afrimax Group holds the licence that belongs to Vodafone, according to the Uganda Communications Commission (UCC).
It emerged recently that Vodafone has been in negotiations with some of its key service providers over failure to settle their outstanding debt. According to a statement issued by Vodafone in January, it was forced to issue an apology to its clients over the poor services across its network. That communication followed a December statement that caught the eye of the industry regulator to intervene in the matter.
UCC corporate affairs director Fred Otuunu revealed that Vodafone had problems with some service providers over failure to settle outstanding debt obligations. One of the companies to which Vodafone owes money is Eaton Towers.
