Globacom Given 24-Month Ultimatum To Appoint New CEO Or Face NCC Sanctions.
Globacom, one of Nigeria’s leading telecommunications operators, has been issued a 24-month deadline by the Nigerian Communications Commission (NCC) to appoint a chief executive officer (CEO) separate from its chairman, Mike Adenuga. Failure to comply with this directive could result in regulatory sanctions, as outlined in the NCC’s new corporate governance guidelines released on 7 August 2025. These rules aim to enhance accountability, transparency, and operational independence across Nigeria’s telecom sector.
The NCC’s directive mandates that telecom operators maintain a clear separation between the roles of board chairman and CEO, a standard already adopted by competitors such as MTN Nigeria, Airtel, and T2 (formerly 9mobile). Globacom, however, has operated with Adenuga serving as both chairman and CEO since its inception in 2003, a structure that has drawn scrutiny for its lack of alignment with global corporate governance best practices. The new guidelines require the chairman to be a non-executive director, prohibiting them from exercising executive powers or assuming the CEO role.
This development follows Globacom’s brief attempt to comply with governance reforms in 2024, when it appointed Ahmad Farroukh, a seasoned telecom executive, as CEO. Farroukh’s tenure lasted only two months, reportedly due to differences over operational control and decision-making processes. His departure left the company reverting to its previous setup, with Adenuga resuming both roles, in violation of the NCC’s framework.
The NCC’s Corporate Governance Guidelines stipulate that telecom operators’ boards must consist of at least five members, including a non-executive chairman, a managing director/CEO, executive directors, non-executive directors, and independent non-executive directors. At least one-third of the board must be independent, and the number of non-executive directors must exceed that of executive directors. Additionally, at least two non-executive directors, one of whom must be independent, are required to have expertise in information communication technology or cybersecurity.
Globacom’s founder-led model has been both a strength and a challenge. While Adenuga’s leadership has driven the company to become a major player in Nigeria’s telecom market, the concentration of executive power has hindered efforts to modernise its governance structure. Industry insiders have noted that this centralised approach has limited the company’s ability to adapt to evolving market demands and international standards.
The NCC has warned that non-compliance with the new guidelines could lead to penalties, including fines, suspension, or even revocation of operating licences. In cases of serious breaches, the Commission may order changes to a company’s management within a specified period. This regulatory pressure comes at a time when Globacom faces other challenges, including a significant loss of market share following an NCC audit in 2024, which revealed that 40 million of its reported subscribers were inactive, reducing its active subscriber base to 19.1 million.
Industry analysts view the NCC’s move as a step towards aligning Nigeria’s telecom sector with global standards, similar to reforms implemented in the country’s banking industry years ago. “The telecom industry has been slow to adopt these governance standards, but this is a necessary push for greater accountability,” said a telecom executive, speaking anonymously.
As the 24-month clock begins ticking, all eyes are on Globacom to see how it will navigate this regulatory mandate and whether it can appoint a CEO capable of steering the company towards compliance and renewed growth.