Blue Label arbitration against Telkom delayed
South Africa based Blue Label Telecoms has announced that its US$480 million arbitration against Nigeria’s Multi-Links, has been postponed.
The Nigerian company cancelled its 10-year contract with Blue Label Telecoms in 2010 which lead the South African company to seek compensation for the loss of profits.
The cancellation is claimed to have been caused by the decision by the South African landline operator, Telkom SA to sell its stake in the Nigerian company for a nominal amount following years of losses.
“The arbitration was postponed as a result of an amendment introduced by Multi-links on the eve of the commencement of the arbitration,” Blue Label’s Michael Campbell told BusinessTech.
Multi-Links has a counter suit against Blue Label’s local subsidiary for US$123 million.