MTN Group is trying to get the USD 5.2 billion fine imposed by the Nigerian Communications Commission (NCC) reduced by as much as 80 percent and might borrow money from banks to help settle the penalty, Bloomberg reported. It said that the head of research at Renaissance Capital (RenCap) in Nigeria, Adesoji Solanke, shared a note with clients, where he said MTN is seeking to have the fine cut by 60 percent to 80 percent. According to Bloomberg, a second lender said MTN is considering borrowing from banks, as it recently checked what their lending capacity to it is.
MTN has until 16 November to pay the penalty, which relates to the timing of the disconnection of 5.1 million subscribers and is based on a charge of NGN 200,000 for each unregistered customer. This could be lowered to as little as USD 1.04 billion.
NCC has confirmed that it had received an apology letter from MTN, asking for leniency over the fine. NCC said it was not in doubt whether MTN would pay the fine. NCC said it would proceed to discuss the letter of apology with the Chief of Staff to President Muhammadu Buhari, where a decision on the matter would be taken.
