Former MTN CEO Phuthuma Nhleko’s Nigerian charm offensive has worked, and he is likely to seek a further lowering of the company’s US$5.2bn fine. In the meantime, the company has appointed a new CEO and head of regulatory affairs.
MTN (JSE:MTN) has successfully lobbied the Nigerian Communications Commission (NCC) to lower its recent fine from US$5.2bn to US$3.9bn, and reportedly hopes to lower it further still.
“The company is carefully considering the NCC’s reply, however executive chairman Phuthuma Nhleko will immediately and urgently re-engage with the Nigerian authorities before responding formally, as it is essential for the company to follow due process to ensure the best outcome for the company, its stakeholders and the Nigerian authorities and accordingly all factors having a bearing on the situation will be thoroughly and carefully considered before the company arrives at a final decision,” MTN said in a statement today.
After the fine was announced at the end of October, former CEO Nhleko was parachuted in to oversee discussions with the NCC and Nigerian president Muhammadu Buhari.
Michael Ikpoki, CEO of MTN Nigeria, has tendered his resignation, as has head of regulatory and corporate affairs, Akinwale Goodluck.
Ferdi Moolman will take over as CEO and Amina Oyagbola as regulatory chief. Moolman was previously COO at MTN’s Iranian business, Irancell, and CFO at MTN Nigeria. Oyagbola will retain her current position as the domestic head of human resources. She previously headed up regulatory affairs at the subsidiary.