South Africa's telecom continues talks with Nigeria

March 11, 2016 6:40 AM

"MTN has previously advised shareholders not to make decisions based on press reports and MTN again urges its shareholders to refrain from doing so," it said.

A worker sweeps past an outlet of South Africa's MTN Group in Johannesburg, February 23, 2016. REUTERS/Siphiwe Sibeko

South Africa's MTN Group said on Friday it continued to engage with Nigerian authorities over a $3.9 billion fine following media reports that the telecoms firm proposed to pay $1.5 billion of the charge.

Bloomberg reported on Thursday that MTN, Africa's largest mobile networks operator, offered to pay about 40 percent of the fine and that Nigeria's senate said talks with the company should continue.

Nigeria in October imposed the fine on MTN for failing to disconnect unregistered SIM cards from its local network amid fears the lines were being used by criminal gangs, including militant Islamist group Boko Haram.

MTN makes about 37 percent of its sales in Nigeria, its biggest market, last month made a $250 million "good faith" payment towards reaching a settlement after dropping a legal case against the Nigerian Communications Commission.