Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.


MTN sells bonds over N330bn fine

08 September 2016, 21:28

Abuja - MTN Group Limited is currently seeking fresh funds through the sale of bonds to offset a N330bn ($1bn) Nigerian fine, pay dividends and address capital expenditure, Punch reports.

The telecoms operator is set to weigh investor interest in the possible bond offering. It has, therefore, mandated Barclays Bank Plc, Bank of America Corporation’s Merrill Lynch, Citigroup Incorporated and Standard Bank Group Limited to arrange a series of fixed-income investor meetings in the United States and the United Kingdom starting from September 9, Bloomberg quoted the Johannesburg-based company as saying in a statement on Wednesday.

The dollar-denominated bond offering “is expected to follow subject to market conditions,” the firm said.

This came just as the Executive Vice-Chairman, Nigerian Communications Commission, Prof. Umar Danbatta, on Wednesday opened up on the dispute leading to the imposition of N1.04tn on the telecoms company for failing to disconnect 5.2 million improperly registered subscribers on its network.

MTN is due to pay an outstanding N280bn of the Nigerian fine in six installments over the next three years. The first payment, which MTN Nigeria says it has already settled, was due on July 8.

The company “is right to consider issuing bonds so as to make the most of the low-yield environment,” Dray said, adding, “This is a good time to sell bonds as there is a strong demand for emerging-market corporates amid a hunt for yield.”

The Senate in June directed its committee on communications to invite all relevant stakeholders to explain the reduction of the fine imposed on MTN for failing to deactivate 5,2 million unregistered subscribers on its network according to News24.

The record fine, imposed late last year, was reduced from N1,04 trillion to N780 billion.

Among those summoned to appear the Minister of Justice and Attorney General of the Federation, Minister of Communication Technology, Executive Vice Chairman of Nigerian Communications Commission, Accountant General of the Federation, Governor of Central Bank of Nigeria, Managing Director of MTN Nigeria and all other parties involved in all the negotiations.

- News 24

Tags mtn nigeria

Read more from our Users

Nigeria @ 56: Words to my green f...

A leader’s job is not to dictate, but rather to be respected, admired and be a trustee, of the land we love, with so much potential, a land which should be freer than free. Its still a long way to fufilling our destiny! Read more...

Submitted by
Isaac Asabor263
Recession: An opportunity for Nig...

The recession should be seen as an opportunity for the country’s promotion as long as we all collectively conduct ourselves in a patriotic manner, writes Isaac Asabor.  Read more...

Submitted by
Black and White

We want to imitate the whites in everything because we are ignorant of our inherent originality and content. We spend all our Naira to acquire his inventions because we so oblivious of our natural endowments that we allow him have it for free. Read more...

Submitted by
Nate Nat
Adamawa State University Mubi: A ...

ADSU integrity forum has accused the Sunday Joshua Wugira, a lawyer, of adopting unorthodox tactics by abusing his privilege by attacking the integrity of ADSU Vice Chancellor Dr. Moses Zira Zaruwa, writes a News24 reader. Read more...

Submitted by
Abdulsalam Jubril
My Country Nigeria (Part One)

Poetry by Abdulsalam Jubril.

Submitted by
Abdulsalam Jubril
Recession, dearth in leadership a...

Every leader has the opportunity to become great and making himself immortal in the lives and hearts of people for generations to come. Will Mr. President seize this opportunity?, questions Abdulsalam Jubril. Read more...