Adenuga’s telecoms, oil investments changed Nigeria’s business landscape-Agboola

By Ambrose Nnaji

The business investments of Mike Adenuga Jr. have contributed significantly to the evolution of Nigeria’s private sector, particularly in telecommunications, oil and gas and other capital-intensive industries, the Chief Press Secretary to the Speaker of the Lagos State House of Assembly, Dave Agboola, has said.

Agboola said the businessman’s career demonstrated how indigenous capital could be deployed across strategic sectors, including telecommunications, petroleum, banking, real estate, aviation, sports and entertainment.

He made the assessment while examining the role of major Nigerian entrepreneurs in the development of the country’s private sector.

According to him, the significance of Adenuga’s business interests lies not only in their scale but also in the sectors in which they operate.

“Among them stands Mike Adenuga Jr., one of the most consequential yet least understood figures in Nigeria’s economic history,” Agboola said.

Adenuga is the founder of Globacom and Conoil Producing and has interests across several sectors.

Agboola identified Globacom’s entry into Nigeria’s telecommunications market in 2003 as one of the clearest examples of the businessman’s impact on competition.

Globacom entered a market where established operators had already built substantial positions following the liberalisation of the telecommunications industry.

One of its early competitive strategies was the introduction of per-second billing, a move that contributed to changes in market competition, with rival operators subsequently introducing similar billing and reducing starter-pack and tariff costs.

Agboola said the development demonstrated how an indigenous entrant could challenge established market practices through pricing, technology and infrastructure investment.

He also cited the company’s investment in telecommunications infrastructure, including the Glo-1 submarine cable, which connected West Africa with Europe and increased capacity for data and communications services.

He said such infrastructure had become increasingly important as telecommunications underpin financial technology, e-commerce, digital media and business communications.

In oil and gas, Agboola highlighted Adenuga’s activities through Conoil Producing and related interests, saying the growth of indigenous companies demonstrated that Nigerian-owned businesses could participate in an industry historically dominated by international oil companies.

“Long before local content became a policy buzzword, Adenuga was already practising it,” he said.

Agboola said indigenous participation should go beyond ownership of assets to include the financial, managerial and technical capacity to operate competitively.

He said stronger Nigerian-owned companies could deepen local supply chains and increase domestic participation in strategic sectors.

He also cited Adenuga’s former involvement with Equitorial Trust Bank, which subsequently became part of Sterling Bank, as evidence of his diversification into financial services.

According to him, investments in banking were important because financial institutions play a major role in mobilising capital and providing access to financial services.

Agboola also identified real estate, aviation, sports and entertainment among the businessman’s other interests, saying the wider economic impact of diversified business groups should be assessed beyond their headline assets.

He said investments in real estate could stimulate activity in construction, engineering and professional services, while aviation and the creative industries could generate opportunities for professionals, athletes and entertainers.

For Agboola, however, the broader significance of Adenuga’s business career lies in the development of indigenous corporate capacity.

“The significance of his story is not simply the wealth he accumulated. Many people make money. Far fewer redefine industries,” he said.

He said the experience illustrated the potential of Nigerian-owned businesses to enter highly competitive and capital-intensive sectors where multinational companies had historically maintained strong positions.

Agboola said Nigeria’s larger challenge was to create conditions that would enable more indigenous businesses to grow from local enterprises into companies capable of competing internationally.

He identified access to capital, infrastructure, technology, human capital and effective management as critical to achieving such scale.

He said the objective should not merely be to increase the number of Nigerian-owned businesses, but to build companies capable of developing technology, creating skilled employment, deepening domestic supply chains and competing in international markets.

“Indigenous ownership must translate into sustainable corporate capacity,” Agboola said.

He said this would require continued investment in technology, infrastructure, innovation and human capital if Nigerian businesses were to become globally competitive.

Dr. Adenuga