During the course of February 2016, the government of Nigeria had called on MTN to make a down payment as a “show of good faith” before the mobile operator’s proposal for an out of court settlement would be considered.
According to a statement issued by MTN, the telco has now followed through with the payment.
The official statement can be found below:
Shareholders were advised on 22 January 2016 that the above-mentioned matter came up for hearing before the Federal High Court in Lagos, Nigeria when the judge adjourned the matter to 18 March 2016 in order to enable the parties to try and settle the matter.
Pursuant to the ongoing engagement with the Nigerian Authorities, MTN Nigeria has made an agreed, without prejudice good faith, payment of 50 Billion Naira (USD250 million) to the Federal Government of Nigeria on the basis that this will be applied towards a settlement, where one is eventually, hopefully arrived at. In an effort to achieve an amicable settlement, MTN has agreed to withdraw the matter from the Federal High Court in Lagos.
Phuthuma Nhleko in his capacity as Executive Chairman of MTN Group and a director of MTN Nigeria is continuing to lead the team engaging the Nigerian Authorities with a view to settling the matter.
Shareholders are therefore advised to continue to exercise caution when dealing in the Company’s securities until a further announcement is made.
Staff Writer
