Telekom Networks Malawi (TNM) Limited has officially withdrawn its sponsorship of the Super League as Competition and Fair Trading Commission (CFTC) maintains its grounds.
Over few weeks CFTC described the contract between TNM and Super League of Malawi (Sulom) as were not good for the development of the game.
According to CFTC, the said contract restricted other competitors from getting involved in Super League football in the country.
The development angered TNM who eventually suspended its sponsorship until the future of the contract was clarified by Football Association of Malawi (FAM), Sulom and CFTC.
However, the stakeholders met on 20th March for clarification where CFTC maintained its ruling regarding the matter.
And in a statement released by the sponsors on Tuesday, confirmed their decision to officially pull out from sponsoring the league.
“Following the meeting on Monday, 20th March, where Sulom and FAM was to get clarification on the ruling by CFTC on the future of the contract with TNM. CFTC has broadly maintained its ruling and therefore TNM has made the decision to fully withdraw from sponsorship of the Super League and let other potential sponsors take part in the continued development of the sport in Malawi.
“TNM acknowledges and abides by the determination made by the CFTC and would not want to be found to be acting in a manner that has ‘negative effects on the development of football’ in Malawi as stated on page 20 of the report.
“As a business, TNM distinguishes between Corporate Social Investment (CSI) and Commercial Sponsorship. In a sponsorship, as per normal global practice, exclusivity is a critical factor in the creation of commercial value for any sponsor.
“To this end, TNM has invested the equivalent of over MK2.6 billion towards the Super League in the past 10 years in both the sponsorship money and other investments in the league development,” reads part of the statement.
Sulom is yet to comment on the development.