Pan African Towers Acquisition: Former CEO, Azeez Amida Sues DPI, Verod Capital Over Alleged 5% Share Denial

A major legal battle has erupted over the acquisition of Pan African Towers, with the company’s former CEO, Azeez Amida suing top investment firms Development Partners International (DPI) and Verod Capital for allegedly failing to transfer his agreed-upon 5% equity stake.

The high-stakes suit claims the former executive exited from his role and subsequently denied his shares, despite successfully quadrupling the telecom infrastructure firm’s revenue and EBITDA during his tenure. The case is scheduled to resume on January 15, 2026, where the court is expected to consolidate applications and possibly begin substantive hearings

According to court filings listed as Suit No. FHC/L/MISC/608/2025, recently heard before Justice Aluko of the Federal High Court, the core of the dispute concerns an alleged failure to allocate a previously agreed equity stake to the plaintiff following the successful management-led acquisition of PAT.

Amida, who was appointed CEO in 2022, said he was tasked with turning around the company’s performance at the time, Pan African Towers was experiencing significant financial strain, with ₦38 billion in debt and ₦7 billion in overdue payables.

According to him, by the end of his first year, revenue rose from ₦10 billion to ₦15 billion, EBITDA increased from ₦4 billion to ₦6.5 billion, and the company reduced its liabilities and renewed key long-term contracts with major telcos.

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According to court filings, Mr Amida courted more clients and secured contract renewals with MTN and Airtel under new terms that boosted PAT’s revenue by 70 per cent, deals that improved PAT’s financial health.

As former shareholders of PAT considered exiting via a sale to an international buyer, the plaintiff proposed and led a local management buy-out initiative to retain the company’s Nigerian identity.

Mr Amida told the court that as buy-out talks intensified between existing shareholders and Axian Telecoms, he showed interest in acquiring the company, opining that he preferred PAT to be owned by an indigenous buyer to the Malaysian tech company.

Mr Amida noted that he sought the professional advice of Verod Capital Management, Verod Capital Growth Fund, DPI and African Development Partners, who agreed on a management buy-out to purchase all stakes from existing shareholders as potential backers. The three parties then pursued and successfully closed a full acquisition of PAT through an investment vehicle.

The transaction was structured as a management buy-out, and the term sheet documenting this agreement was filed with the court as part of the ongoing proceedings. The plaintiff contends that the investors’ participation was contingent on this agreement and that the transaction terms were not discretionary or informal.

Amida’s legal team argued that the defendants benefited significantly from the value created under his leadership and should be held to the agreement, which formed the basis of their entry into the deal.

Raising additional concerns, his legal team alleged that the defendants were planning to sell or transfer equity in PAT Holding Limited, the entity through which the acquisition was completed. He argued that such a move could undermine the Amida’s claim and requested the court to order a status quo and preserve the current shareholding structure until the matter is determined by the honourable court.

Justice Aluko acknowledged the court’s inherent power to grant such relief but declined to issue the order at this stage, citing the pending injunction motion. Nevertheless, the court instructed all parties to respect the pending processes before it and maintain the order.