City businessman Patrick Bitature’s woes are far from over as it has emerged that telecom giant MTN-Uganda has withdrawn 80% of the territorial rights they had granted him as a dealer.
Territorial rights mean an area of business operation granted to a dealer for business transactions in a given locality. Sources told this website that MTN decided to withdraw the rights after realizing that its businesses were struggling. Sources further say most of the Simba Telecom shops have closed.
It is said that after the elimination of scratch airtime cards where Bitature’s Simba Telecom was hired as dealer, business transaction between Simba and MTN was reduced to 20% which means there was nothing much to distribute apart from selling phones.
However, we didn’t establish whether the current woes involving Vantage could have had fast effects since both MTN and Vantage are South African companies.
Meanwhile, information from the local banking sector allege that the Ibanda bred businessman who is known for motivational speeches could be in more trouble as more local banks are likely to come out the same way as Vantage because of the loans he acquired from them. It is alleged that from one of the local banks, he could have secured a $45 million loan.
Bitature is known to be a businessman whose investments are in the real estate, hotel and energy sectors.